What is the maximum Transfer Fee a Monicals Pizza franchisee might have to pay?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Transfer Fee | Actual cost of legal fees and expenses and our salaries required for training new Franchisee up to a maximum total of $10,000 | At the time of transfer | Payable to us at the time of transfer. Does not apply to an assignment under Section 18.3 of the Franchise Agreement. |
Source: Item 6 — OTHER FEES (FDD pages 10–12)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, a franchisee may have to pay a transfer fee. This fee covers the actual costs of legal work, expenses, and Monicals Pizza's salary costs for training the new franchisee. The transfer fee is payable to Monicals Pizza at the time of the transfer.
The maximum amount a Monicals Pizza franchisee might have to pay for a transfer fee is $10,000. This fee does not apply to an assignment under Section 18.3 of the Franchise Agreement.
Transfer fees are common in franchising to compensate the franchisor for their time and expenses in approving a transfer and training the new franchisee. The fee helps ensure that the new franchisee is properly trained and capable of operating the Monicals Pizza business according to the brand's standards.