Buying or selling an existing East Side Mario's is a full-service restaurant resale with a family-dining scale to it — larger dining rooms, private-event and banquet bookings, and the brand's signature themed décor all add diligence items on top of the usual liquor licence, lease, and health-unit steps.
East Side Mario's resales follow the franchisor's own approval process on top of the usual purchase mechanics — here's how the two run together.
Getting approved
The offer sets price and structure and should build in the conditions that matter for a larger-format family restaurant: franchisor consent, landlord consent, and AGCO licence transfer.
1–2 weeks†The franchisor reviews the incoming operator and the proposed terms before consenting to the transfer of that specific location.
3–6 weeks†An Arthur Wishart Act disclosure document may still be required even where the deal is framed as a private resale — the exemption is read narrowly by Ontario courts, so this gets confirmed early.
assessed early†Getting to closing
The lease assignment, the AGCO liquor licence transfer, and a health-unit inspection typically run in parallel — a larger dining room and kitchen can mean a more involved inspection than a smaller-format resale.
often the critical path†The branded interior décor and fixtures that give each location its character are reviewed as leasehold improvements — confirming what's owned, what's licensed from the franchisor, and what stays with the premises.
2–3 weeks†After training and franchisor sign-off, funds, keys, and signed documents change hands, alongside an inventory count and any private-event bookings already on the calendar.
1 day, once conditions are met†Listed among Recipe Unlimited's franchisable brands on its official franchising page
Established Italian-American casual-dining chain with numerous Ontario locations
This is the first real decision in a East Side Mario's resale — and it changes what you're buying, what you're taking on, and how the franchise agreement moves.
| Question | Asset purchase | Share purchase |
|---|---|---|
| What you buy | The location's assets — kitchen and bar equipment, the branded décor and leasehold improvements, inventory, the lease, and the franchise agreement's benefit, subject to consent. | The shares of the operating company — every location it holds, and everything the company owes. |
| Franchisor consent & ROFR | Required for the specific location changing hands. | Required for the change of control itself, across every location the corporation operates. |
| The AGCO liquor licence | Transfer application, or a new licence bridged by an interim authorization to keep serving while it's processed. | Stays with the corporation, but AGCO must be notified of the ownership change. |
| Décor & leasehold improvements | Branded fixtures and décor are itemized and confirmed as owned outright, licensed from the franchisor, or attached to the premises. | Stays with the company; no separate itemization needed. |
| Private-event & banquet bookings | Existing bookings and deposits typically carry over as part of the deal, spelled out in the purchase agreement. | Bookings stay with the corporation regardless of who holds the shares. |
| Tax angle | Buyer gets a stepped-up cost base on the assets purchased. | Seller may access the lifetime capital gains exemption on qualifying shares. |
The location's assets — kitchen and bar equipment, the branded décor and leasehold improvements, inventory, the lease, and the franchise agreement's benefit, subject to consent.
The shares of the operating company — every location it holds, and everything the company owes.
Required for the specific location changing hands.
Required for the change of control itself, across every location the corporation operates.
Transfer application, or a new licence bridged by an interim authorization to keep serving while it's processed.
Stays with the corporation, but AGCO must be notified of the ownership change.
Branded fixtures and décor are itemized and confirmed as owned outright, licensed from the franchisor, or attached to the premises.
Stays with the company; no separate itemization needed.
Existing bookings and deposits typically carry over as part of the deal, spelled out in the purchase agreement.
Bookings stay with the corporation regardless of who holds the shares.
Buyer gets a stepped-up cost base on the assets purchased.
Seller may access the lifetime capital gains exemption on qualifying shares.
We tell you which structure fits — before you sign anything.
No open-ended hourly surprises — the cost is confirmed in writing before any work begins.
| Type of work | Fee | How it's confirmed |
|---|---|---|
| Straightforward purchase or sale | Starting from $3,388.87 Our charges · taxes included | Confirmed in writing once we see the agreement. |
| Larger or more complex deal | Quoted to scope | Short call → fixed written quote before any work begins. |
| Searches, filings & third-party fees | At cost | Itemized on your invoice, not marked up. |
A single East Side Mario's location with a straightforward lease, changing hands between one buyer and one seller.
Start my file →A multi-location operator selling several restaurants as one operating company, or a resale where existing banquet bookings and leasehold décor need careful review 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.
Generally, yes, as part of the location's leasehold improvements — but they're itemized and confirmed as owned outright, licensed from the franchisor, or attached to the premises, rather than assumed from what's on the walls.
These typically carry over as part of the deal, with existing bookings and deposits spelled out in the purchase agreement so nothing falls through the cracks between signing and closing.
Often, yes — an interim authorization can let the premises keep serving under temporary authority while the full transfer application is processed. What applies to your specific licence gets confirmed before closing.
Not necessarily. Ontario courts have read the resale-disclosure exemption narrowly, and franchisor involvement in the resale can be enough to trigger a full disclosure requirement anyway — we confirm early whether it applies to your deal.
Often, yes. Buying an operating company that holds multiple locations is more commonly done as a share purchase, so every location's franchise agreement, licence, and lease stay intact at the same time.
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 East Side Mario's or its franchisor.
Tell us about your East Side Mario's resale — we'll point you the right way and confirm the cost in writing before any work begins.