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

Buying a Eggsmart franchise

Buying or selling an existing Eggsmart location in Ontario is a resale layered on top of an Ontario-founded, daytime-only breakfast franchise system — the lease and the health-unit inspection matter as much as the franchisor's own consent and right of first refusal.

№ 01.1The Resale, End to End

From offer to ownership

Eggsmart 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 structure, and should build in the conditions that matter for an Eggsmart resale: franchisor consent, landlord consent to assign, and a clean health-unit inspection — not just financing.

1–2 weeks
02

Franchisor application & right of first refusal

Eggsmart reviews the incoming owner's application, and may exercise a right of first refusal to acquire the location itself rather than let the sale proceed.

several weeks, typically
03

Disclosure considerations

Whether an Arthur Wishart Act disclosure document applies to this specific resale gets confirmed early — Ontario courts read the resale exemption narrowly, so franchisor involvement in matching buyer to seller can still trigger a full disclosure requirement.

assessed early in the deal

Getting to closing

04

Lease & health-unit steps

The landlord's consent to assign the lease runs alongside a fresh health-unit inspection or a notice of change of operator, timed around the closing date.

3–8 weeks
05

Training & transfer approval

The incoming owner typically completes Eggsmart's kitchen and front-of-house operations training before or shortly after taking over.

before or shortly after closing
06

Closing

Funds, keys, and the assignment documents change hands once every condition clears, alongside a food and supplies inventory count settled 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 Eggsmart system

CFA Look For A Franchise listing confirms an active Canadian franchise network, established 2008

Ontario-founded breakfast chain with locations concentrated in the province

№ 01.3Deal Structure

Asset sale or share sale?

This is the first real decision in a Eggsmart 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 location's assets — kitchen equipment, leasehold improvements, inventory, and the existing franchise agreement's benefit, subject to franchisor consent.The shares of the operating company that holds the location — everything it owns, and everything it owes.
Franchisor consent & ROFRRequired for the specific location changing hands — often the pacing condition on the whole deal.Required for the change of control itself — the franchisor reviews who is actually taking over.
Arthur Wishart disclosureMay still be required even where the deal is framed as a private resale — the exemption is read narrowly.Assessed the same way regardless of how the shares change hands.
The leaseNeeds the landlord's consent to assign — often the pacing item for the whole closing.Usually stays in place unless the lease itself has a 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 use in an Eggsmart resaleThe default for a single location changing hands between one buyer and one seller.More common where an owner holding several locations sells the operating company as a whole.
What you buy
Asset sale

The location's assets — kitchen equipment, leasehold improvements, inventory, and the existing franchise agreement's benefit, subject to franchisor consent.

Franchisor consent & ROFR
Asset sale

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

Arthur Wishart disclosure
Asset sale

May still be required even where the deal is framed as a private resale — the exemption is read narrowly.

The lease
Asset sale

Needs the landlord's consent to assign — often the pacing item for the whole closing.

Tax angle
Asset sale

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

Typical use in an Eggsmart resale
Asset sale

The default for a single location changing hands between one buyer and one seller.

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 Eggsmart location changing hands between one buyer and one seller, with a straightforward lease.

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A bit more involved

A larger or more complex deal

A multi-location Eggsmart owner selling the operating company together, or a resale that first needs the franchisor's right-of-first-refusal or disclosure question worked through.

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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

Does buying an existing Eggsmart location mean I skip the disclosure document?

Not necessarily. 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 anyway. Whether it applies to your deal is confirmed early, not assumed.

Does Eggsmart's daytime-only schedule change anything about the resale process?

Not the legal steps themselves, but it does affect how staffing and the lease's hours-of-operation clauses get reviewed — a breakfast-and-lunch-only format typically has a different staffing rhythm than an all-day restaurant, which is worth factoring into normalized earnings and staff continuity planning.

Is an Eggsmart location a full-service, sit-down restaurant, or a quick-service counter?

Eggsmart is generally a full-service, sit-down breakfast and lunch format, which means the lease, equipment, and staffing diligence look more like a traditional restaurant resale than a kiosk or counter-service unit.

Is an Eggsmart resale usually an existing location or a new build-out?

A resale is an existing, already-equipped location changing ownership — there's no build-out to plan for, which is typically why a resale closes faster than opening a brand-new location.

If the corporation being sold operates more than one Eggsmart location, does a share sale bundle them together automatically?

Not automatically — it depends on how the seller's corporate structure is set up. Some operators hold each location in a separate entity, in which case a share sale only captures the one you're buying; we confirm the actual structure before assuming it does or doesn't include other locations.

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 Eggsmart or its franchisor.

Ready to begin?

Tell us about your Eggsmart 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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