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

Buying a Paul Davis Restoration franchise

Buying or selling an existing Paul Davis Restoration franchise in Ontario means buying an emergency-response property-restoration business — drying and mitigation equipment, a crew, a warehouse or shop space, and, often the most valuable piece, standing relationships with insurance adjusters and preferred-vendor programs that generate a steady stream of referral work. None of that transfers on reputation alone; it has to be handled deliberately as part of the sale.

№ 01.1The Resale, End to End

From offer to ownership

Paul Davis Restoration 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

The offer sets price and terms, conditioned on franchisor consent and a look at the franchise's referral relationships and equipment condition, not just its revenue.

1–2 weeks
02

Franchisor application & consent

The franchisor reviews the buyer and deal terms, and may exercise a right of first refusal to take over the franchise itself instead of approving your purchase.

3–8 weeks, typically
03

Disclosure considerations

Arthur Wishart Act disclosure may still be required even where the deal is framed as a private resale — Ontario courts read the resale exemption narrowly, so this gets confirmed early rather than assumed.

assessed early, in parallel

Getting to closing

04

Premises & equipment assignment

Landlord's consent on the warehouse or shop space, alongside confirming ownership and financing on drying equipment, vehicles, and tools.

3–6 weeks
05

Training & certification transfer

The incoming owner or key staff complete restoration-specific training and certification requirements, and WSIB standing is confirmed, before the franchisor signs off.

2–6 weeks, often overlapping
06

Closing

Funds, keys, and the new franchise agreement change hands together, with equipment and vehicle titles settled the same day.

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

About the Paul Davis Restoration system

CFA listing confirms an active Canadian franchise network; operates in Canada as a subsidiary of FirstService Brands Canada Inc.

Ontario locations within its Canadian franchise network.

№ 01.3Deal Structure

Asset sale or share sale?

This is the first real decision in a Paul Davis Restoration 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 franchise's assets — drying and mitigation equipment, vehicles, leasehold improvements, and the existing franchise agreement and referral standing, subject to consent.The shares of the corporation operating the franchise — everything it owns, and everything it owes.
Franchisor consent & ROFRRequired for the specific territory changing hands — often the pacing condition on the whole deal.Required for the change of control itself, with the franchisor reviewing who is actually taking over.
Insurer referral-network standingPreferred-vendor and adjuster-referral relationships generally need to be actively re-established with the incoming owner — they don't transfer automatically just because the location's name stays the same.These relationships are more likely to continue uninterrupted, since the corporation the insurer or adjuster network deals with doesn't change.
The lease / premisesWarehouse or shop-space lease needs the landlord's consent to assign, timed alongside the franchisor's own consent.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.
Typical useThe default for a single territory changing hands.Less common — sometimes used where an operator holds multiple territories under one company.
What you buy
Asset sale

The franchise's assets — drying and mitigation equipment, vehicles, leasehold improvements, and the existing franchise agreement and referral standing, subject to consent.

Franchisor consent & ROFR
Asset sale

Required for the specific territory changing hands — often the pacing condition on the whole deal.

Insurer referral-network standing
Asset sale

Preferred-vendor and adjuster-referral relationships generally need to be actively re-established with the incoming owner — they don't transfer automatically just because the location's name stays the same.

The lease / premises
Asset sale

Warehouse or shop-space lease needs the landlord's consent to assign, timed alongside the franchisor's own consent.

Tax angle
Asset sale

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

Typical use
Asset sale

The default for a single territory changing hands.

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 Paul Davis Restoration territory changing hands between one buyer and one seller — equipment, a shop lease, and a standard franchisor consent process.

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A bit more involved

A larger or more complex deal

An operator selling several territories as one operating company, or a resale where insurer referral relationships, a right of first refusal, or a disclosure question needs to be worked through first.

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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

Do the franchise's insurance-adjuster relationships come with the sale?

Not automatically. Preferred-vendor and referral relationships with insurers and adjusters are typically tied to the individual operator's track record, so a buyer generally needs to actively re-establish them rather than assume they transfer with the business name.

How much of the value in a restoration franchise is really about the equipment versus the referral network?

Both matter, but the referral relationships — and the steady work they generate — are often what a buyer is really paying for. Equipment gets valued and itemized in the usual way, but the referral side needs its own honest assessment during diligence.

Does buying an existing Paul Davis Restoration franchise mean I skip franchise disclosure?

Not necessarily. Ontario courts have read the resale-disclosure exemption narrowly, and franchisor involvement in the resale can trigger a full disclosure requirement regardless of how the deal is framed.

What happens to WSIB standing and crew certifications when ownership changes?

WSIB clearance is typically confirmed as part of closing, and crew certifications relevant to restoration work are checked for continuity — an incoming owner should know before closing whether key certified staff are staying on, since that affects both operations and referral standing.

I'm buying several Paul Davis Restoration territories from one operator — does the structure change?

Often, yes. Multiple territories under one operating company are more commonly sold as shares, so every territory's franchise agreement, equipment financing, and referral relationships stay intact at once.

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 Paul Davis Restoration or its franchisor.

Ready to begin?

Tell us about your Paul Davis Restoration 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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