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№ 01Buying & Selling a Business · Franchise Resale · Ontario

Buying a CEFA Early Learning franchise

CEFA operates licensed early learning campuses built around its own bilingual, enrichment-focused curriculum — which means a resale carries the same core wrinkle as any Ontario daycare sale: the childcare licence itself doesn't transfer to a new operator. The buyer needs to secure their own licence under the Child Care and Early Years Act before day one, and how the campus's CWELCC funding agreement is treated is often what actually shapes the closing timeline.

№ 01.1The Resale, End to End

From offer to ownership

CEFA Early Learning resales follow the franchisor's own approval process on top of the usual purchase mechanics — here's how the two run together.

Getting approved

01

Conditional offer & campus review

The offer sets price and structure, conditioned on franchisor consent and a review of the campus's enrollment, staffing ratios, and CWELCC funding status.

2–3 weeks
02

Franchisor application & consent

The franchisor reviews the proposed buyer and may exercise a right of first refusal before the sale can proceed.

several weeks, typically
03

Disclosure considerations

A franchise disclosure document may still be required for this resale — Ontario courts read the resale exemption narrowly, so franchisor involvement in the sale can trigger it even where it's called a private deal.

assessed early

Getting to closing

04

CCEYA licence application & CWELCC continuity

The existing childcare licence doesn't transfer with a change of operator, so the buyer applies for their own licence while the campus's CWELCC funding-agreement treatment is worked out in parallel.

8–16 weeks, typically the longest step
05

Curriculum training & transfer approval

The incoming operator and lead staff complete CEFA's curriculum and program training, alongside confirming staff-to-child ratios and background checks are current.

2–4 weeks
06

Closing

Funds change hands once the new licence and franchisor sign-off are in place, and enrollment records transfer to the new operator.

1 day, once conditions are met
Timelines vary by franchisor approval speedWe track every deadline so nothing lapses.
№ 01.2About the System

About the CEFA Early Learning system

CFA Look For A Franchise listing confirms an active Canadian franchise network, CFA member since 2011, in business since 1998

Ontario campuses among its established Canadian early-learning network (provincial breakdown not published)

№ 01.3Deal Structure

Asset sale or share sale?

This is the first real decision in a CEFA Early Learning resale — and it changes what you're buying, what you're taking on, and how the franchise agreement moves.

QuestionAsset purchaseShare purchase
What you buyThe campus's assets — leasehold improvements, classroom equipment, enrollment and waitlist records, the curriculum licence, and the franchise agreement's benefit, subject to franchisor consent.The shares of the operating company — everything it owns, and everything it owes.
Seller's liabilitiesGenerally stay behind with the seller's existing corporation.Generally come with the company, known and unknown.
Franchise agreementConsent required for the specific campus, often paired with a current-form agreement.Consent required for the change of control itself.
CCEYA childcare licenceNot transferable — the buyer applies for and obtains their own licence under the Child Care and Early Years Act before operating.A share sale can sometimes preserve the existing corporate licence, but Ministry approval of the ownership change is still required.
CWELCC funding agreementHow the campus's Canada-Wide Early Learning and Child Care funding agreement is treated on a change of ownership needs to be confirmed with the Ministry directly.Funding continuity is a central negotiating point either way, since a gap affects both revenue and parent fees.
The lease & classroom complianceNeeds the landlord's written consent to assign, plus confirming classroom space still meets licensed square-footage-per-child requirements.Usually stays in place, unless the lease has its own change-of-control clause.
What you buy
Asset sale

The campus's assets — leasehold improvements, classroom equipment, enrollment and waitlist records, the curriculum licence, and the franchise agreement's benefit, subject to franchisor consent.

Seller's liabilities
Asset sale

Generally stay behind with the seller's existing corporation.

Franchise agreement
Asset sale

Consent required for the specific campus, often paired with a current-form agreement.

CCEYA childcare licence
Asset sale

Not transferable — the buyer applies for and obtains their own licence under the Child Care and Early Years Act before operating.

CWELCC funding agreement
Asset sale

How the campus's Canada-Wide Early Learning and Child Care funding agreement is treated on a change of ownership needs to be confirmed with the Ministry directly.

The lease & classroom compliance
Asset sale

Needs the landlord's written consent to assign, plus confirming classroom space still meets licensed square-footage-per-child requirements.

We tell you which structure fits — before you sign anything.

№ 01.5Costs & Fees

You'll know the number before we start

No open-ended hourly surprises — the cost is confirmed in writing before any work begins.

Type of workFeeHow it's confirmed
Straightforward purchase or saleStarting from $3,388.87
Our charges · taxes included
Confirmed in writing once we see the agreement.
Larger or more complex dealQuoted to scopeShort call → fixed written quote before any work begins.
Searches, filings & third-party feesAt costItemized on your invoice, not marked up.
Franchisor transfer/application fees, landlord consent costs, and a broker's success fee if the deal was listed — all confirmed once we see your agreement.
Most deals start here

An owner-run business

A single CEFA campus changing hands between one buyer and one seller, with licensing and CWELCC funding continuity confirmed early.

Start my file
A bit more involved

A larger or more complex deal

A multi-campus operator adding a location to an existing portfolio, or a resale where CWELCC funding treatment or Ministry licensing timing needs to be resolved before terms are final.

Book a consultation

Not sure which you are? That's our job to figure out, not yours. As a rough guide, most deals under a couple of million dollars are the first kind — above that, you're usually in Mergers & Acquisitions territory.

№ 01.6Before You Ask

Common questions

Does the existing childcare licence transfer to me when I buy an existing CEFA campus?

No — Ontario's Child Care and Early Years Act licence is not transferable on a change of ownership. You apply for your own licence, and timing that Ministry approval against your closing date is usually the single biggest scheduling factor in the deal.

What happens to the campus's CWELCC funding if I buy it?

That depends on how the Ministry treats the specific transaction, and it's worth confirming directly rather than assuming — a gap or change in CWELCC funding status affects both the campus's revenue and the fees parents pay, so it's a genuine negotiating point.

Is the curriculum training different from general early-childhood-education requirements?

Yes — CEFA's bilingual, enrichment-focused curriculum is proprietary to the brand and is trained separately from the general RECE qualifications your staff already hold, and it's typically required of the incoming operator and lead teachers.

How long does a daycare franchise resale usually take compared to other franchises?

Longer than most — the Ministry licensing and CWELCC review add real time on top of the franchisor's own consent process, so 90 to 180 days from offer to close is a more realistic range than the 30 to 60 days typical of a retail or quick-service resale.

Do I need a disclosure document to buy an existing CEFA campus?

Possibly. Ontario courts have read the resale-disclosure exemption narrowly, and franchisor involvement in matching a buyer to a seller can be enough to trigger a full disclosure requirement even where the deal is framed as a private resale.

Related

Where we close franchise resale deals

Treadstone Law is an independent law firm. We act for buyers and sellers of franchise businesses. We are not affiliated with, endorsed by, or retained by CEFA Early Learning or its franchisor.

Ready to begin?

Tell us about your CEFA Early Learning resale — we'll point you the right way and confirm the cost in writing before any work begins.

Prefer to talk first? Call 1-844-900-1070 — it’s free.
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