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

Buying a Chopped Leaf franchise

Chopped Leaf's fresh-prep, no-fryer format shifts the equipment and food-safety focus away from what a typical quick-service resale worries about — there's no deep-fryer oil to assess, but there is a cold chain to protect, from the walk-in cooler through the prep line to the salad and bowl station. With Chopped Leaf operating across both Canada and the US, confirming which entity actually holds the rights an Ontario location's franchise agreement is tied to is a genuine diligence step, not a formality.

№ 01.1The Resale, End to End

From offer to ownership

Chopped Leaf 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 & structure

The offer sets price and structure, conditioned on franchisor consent and a walkthrough of the cold-holding and prep-line equipment.

1–2 weeks
02

Franchisor application & consent

The franchisor reviews the proposed buyer and the deal terms, 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-disclosure 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

Lease & premises assignment

The strip-plaza or mall lease needs landlord consent to assign, timed alongside the franchisor's own review.

2–6 weeks
05

Training & transfer approval

The incoming owner or a designated manager typically completes Chopped Leaf's prep-line and food-safety training before or shortly after taking over.

1–3 weeks
06

Closing

Funds and keys change hands, cold-chain equipment condition is confirmed, and perishable produce inventory is counted at cost.

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

About the Chopped Leaf system

Official choppedleaf.ca/franchise-opportunities/ page confirms active Canadian franchise recruitment, with locations open across Canada and the US and additional franchise agreements signed

Listed with an Oakville, ON contact point on the National Franchise Directory alongside its Canadian network

№ 01.3Deal Structure

Asset sale or share sale?

This is the first real decision in a Chopped Leaf 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 unit's walk-in cooler, prep-line and blending equipment, leasehold improvements, inventory, and the franchise agreement's benefit, subject to franchisor consent.The shares of the operating company — every location it holds, and everything it owes.
Seller's liabilitiesGenerally stay behind with the seller's existing corporation.Generally come with the company, known and unknown.
Franchisor consent & ROFRRequired for the specific unit changing hands, from the entity holding rights over the Canadian location.Required for the change of control itself.
Cold-chain compliance historyTemperature logs and cold-holding equipment condition are a standard diligence item, given how much of the menu depends on the cold chain rather than cooking.Compliance history is part of the broader diligence package on the company's food-safety record.
The leaseNeeds the landlord's written consent to assign, timed alongside the franchisor's own approval.Usually stays in place, unless the lease has its own change-of-control clause.
Tax angleBuyer gets a stepped-up cost base on the assets purchased.Seller may access the lifetime capital gains exemption on qualifying shares.
What you buy
Asset sale

The unit's walk-in cooler, prep-line and blending equipment, leasehold improvements, inventory, and the franchise agreement's benefit, subject to franchisor consent.

Seller's liabilities
Asset sale

Generally stay behind with the seller's existing corporation.

Franchisor consent & ROFR
Asset sale

Required for the specific unit changing hands, from the entity holding rights over the Canadian location.

Cold-chain compliance history
Asset sale

Temperature logs and cold-holding equipment condition are a standard diligence item, given how much of the menu depends on the cold chain rather than cooking.

The lease
Asset sale

Needs the landlord's written consent to assign, timed alongside the franchisor's own approval.

Tax angle
Asset sale

Buyer gets a stepped-up cost base on the assets purchased.

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 Chopped Leaf storefront changing hands between one buyer and one seller, with a straightforward lease and clean cold-chain compliance history.

Start my file
A bit more involved

A larger or more complex deal

A multi-unit operator adding a location to an existing portfolio, or a resale where confirming the correct franchisor entity for a cross-border brand takes longer than expected.

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 a fresh-prep, no-fryer format change the diligence compared to a typical quick-service resale?

Yes — there's no fryer oil or exhaust system to assess, but the cold chain becomes the focus instead. Walk-in cooler condition, cold-holding units, and temperature-log compliance history matter more here than they would for a fried-food concept.

Chopped Leaf operates in both Canada and the US — does that complicate the franchisor consent process?

It can add a step. Confirming exactly which entity holds the rights tied to an Ontario location's franchise agreement is worth doing before you assume the seller's existing agreement transfers cleanly to a new operator.

How is the perishable inventory counted at closing?

Fresh produce and prepared ingredients don't hold value the way packaged goods do, so the count is usually timed close to closing day and valued at cost, with the method agreed in the purchase agreement rather than improvised on the day.

Do I need a disclosure document to buy an existing Chopped Leaf location?

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.

I'm buying two Chopped Leaf locations from the same owner. Does that change the structure?

Often, yes. Acquiring an operating company that holds more than one location is more commonly handled as a share purchase, so each location's franchise agreement and lease stay intact through the same transaction.

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 Chopped Leaf or its franchisor.

Ready to begin?

Tell us about your Chopped Leaf 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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