Can Mr. Sandless disapprove a transfer if the purchase price and terms are too burdensome to the buyer?

According to Mr. Sandless's 2025 Franchise Disclosure Document, Mr. Sandless can disapprove a transfer if the purchase price and terms of the proposed transfer are too burdensome for the buyer. Specifically, Mr. Sandless can deny the transfer if the terms impair or materially threaten the future operation of the business and the buyer's ability to perform under the franchise agreement. This provision protects the Mr. Sandless system by ensuring that new franchisees are set up for success and can maintain the standards of the brand.

This condition is important for prospective Mr. Sandless franchisees to understand because it means that they cannot simply sell their franchise to anyone at any price. Mr. Sandless has the right to ensure that the buyer is financially capable of running the business successfully. This protects both the brand and the existing franchisees by preventing undercapitalized or poorly managed businesses from operating under the Mr. Sandless name.

In addition to this specific condition, Mr. Sandless retains broad discretion in approving or denying transfers. The FDD states that Mr. Sandless may withhold or condition consent to any transfer as it deems appropriate based on the circumstances. This gives Mr. Sandless significant control over who becomes a franchisee and helps maintain the quality and consistency of the Mr. Sandless brand.