What fees must a proposed transferee pay for a Pump It Up franchise?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
Along with that required information, you must pay a transfer fee (the "Transfer Fee").
The Transfer Fee you will pay us is currently between $10,000 and $20,000 depending upon the amount of initial training and support that you will require.
With your written notice of your intent to transfer the Franchised Business, you will pay us a deposit towards the Transfer Fee in the amount of $3,000 (the "Transfer Deposit").
The Transfer Deposit must be paid before the proposed Transferee arrives for the Training Program to cover our costs to begin to review the transfer documentation.
The Transfer Deposit is non-refundable.
(b) if the proposed transferee comes through an investigation process with a franchise sales broker that we have retained, then the transferee must pay our then-current Initial Franchise Fee instead of the Transfer Fee.
(f) you have corrected any existing deficiencies of the Franchised Business of which we have notified you, and/or the proposed transferee agrees to upgrade, remodel, and refurbish the Franchised Business in accordance with our then-current requirements and specifications for Pump It Up Businesses within the time period we specify following the effective date of the Transfer (we will advise the proposed transferee before the effective date of the Transfer of the specific actions that are required and the time period within which such actions must be taken);
(h) you must modify and/or upgrade certain equipment, safety features, and computer hardware or software to our then-current standards prior to the closing of the proposed transfer.
If we evaluate the proposed location for your Franchised Business onsite, you will pay us a Site Evaluation Fee equal to $500 per person that we send to the Site, per day that we are at or traveling to the Site.
If you propose to utilize a new product or new supplier of products that we have not previously used in the System, we may charge you an amount not to exceed the reasonable cost of the inspection (including the actual cost of any test performed) for our review and confirmation that the new product, equipment, materials, supplies or services comply with our System Standards.
All amounts which you owe us for any reason will bear compounded interest accruing as of their original due date at 1.5% per month or the highest commercial contract interest rate the law allows, whichever is less.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, a proposed transferee may be responsible for several fees. The standard Transfer Fee ranges from $10,000 to $20,000, depending on the amount of initial training and support required. A $3,000 Transfer Deposit is required to begin the transfer documentation review, and this deposit is non-refundable. However, the Transfer Fee is waived if the transfer is to an entity formed by the franchisee for convenience of ownership or due to death or permanent incapacity.
Instead of the Transfer Fee, the transferee will pay Pump It Up's then-current Initial Franchise Fee if they come through an investigation process with a franchise sales broker retained by Pump It Up. This fee structure is in place to cover the additional costs incurred with the franchise sales broker, including commissions. The proposed transferee may also need to cover costs to upgrade, remodel, and refurbish the Franchised Business to meet Pump It Up's current standards, as well as modify or upgrade certain equipment, safety features, and computer hardware or software.
In addition to the above fees, the proposed transferee may also be responsible for other fees. If Pump It Up evaluates the site for the Franchised Business, the transferee will pay a Site Evaluation Fee of $500 per person per day, plus all travel and living expenses. If the transferee proposes to utilize a new product or supplier, they may be charged a New Product and Supplier Evaluation Fee to cover the costs of inspection and testing. It is important to note that all amounts owed to Pump It Up will bear interest at 1.5% per month or the highest commercial contract interest rate the law allows.