Can the amount of the Collateral Security Deposit for an Aplus franchise be changed, and if so, how?

According to Aplus's 2024 Franchise Disclosure Document, the amount of the Collateral Deposit can be changed, substituted, reduced, or increased. This can occur at any time, but requires mutual agreement between Sunoco and the franchisee.

Initially, the franchisee must deposit cash collateral with Sunoco, with the amount determined by Sunoco. The minimum amount for this Collateral Security Deposit is $10,000, or another amount stated in Attachment 1. This deposit serves as security for any present, past, or future obligations the franchisee has to Sunoco.

Sunoco retains the discretion to demand a larger Collateral Security Deposit or additional security both before the store opens and at any point during the contractual period. They may also require the franchisee to execute and deliver updated financing statements or security agreements. This flexibility allows Aplus to adjust the security deposit based on the franchisee's performance and risk profile, as well as market conditions.