What is the standard fee for a transfer of a Noodles & Company franchise?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
iable for claims arising out of your franchise operations. | | Transfer of Franchise | $3,500 per restaurant transferred or the amount stated in our then current Franchise Agreement. This is in addition to any other transfer fees required under any other agreements with us or our affiliate and payment of all of our costs associated with the transfer. | Upon sale or transfer of a franchised restaurant | Except in the case of a transfer to a corporation formed solely for the convenience of ownership or under circumstances regarding death or disability, you must pay us a transfer fee. Transfers are not allowed without our consent unless the law requires us to permit the transfer. | |-----------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | Transfer of Development Agreement | $7,500, or the amount stated
Source: Item 6 — OTHER FEES (FDD pages 19–22)
What This Means (2025 FDD)
According to Noodles & Company's 2025 Franchise Disclosure Document, the standard transfer fee for a franchise is $3,500 per restaurant transferred or the amount stated in the then-current Franchise Agreement. This fee is in addition to any other transfer fees required under any other agreements with Noodles & Company or its affiliates, as well as payment of all of Noodles & Company's costs associated with the transfer.
This fee is payable upon the sale or transfer of a franchised restaurant. However, there are exceptions to this fee. A transfer fee is not required in the case of a transfer to a corporation formed solely for the convenience of ownership or under circumstances regarding death or disability.
It's important to note that transfers are not allowed without Noodles & Company's consent unless the law requires them to permit the transfer. This means that even if a franchisee is willing to pay the transfer fee and meets all other requirements, Noodles & Company still has the right to deny the transfer if they do not consent to it, unless applicable laws mandate otherwise.