What is the finance charge for late payments for an Apricot Lane franchise?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks* |
|---|---|---|---|
| Finance Charge | Lower of 18% or highest legal rate for open account business credit accrued from due date | On demand after due dates of late payment | Imposing the finance charge does not excuse your late payment or commit us to extend credit to you |
Source: Item 6 — OTHER FEES (FDD pages 11–14)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, a finance charge is applied to late payments. This charge is the lower of 18% or the highest legal rate for open account business credit, accruing from the due date of the late payment. This finance charge is demanded after the due dates of late payments.
It's important to note that imposing this finance charge does not excuse the franchisee's late payment, nor does it commit Apricot Lane to extend credit to the franchisee. This means that even if the finance charge is applied, the franchisee is still responsible for the original payment, and Apricot Lane is not obligated to offer any further credit.
Franchisees must be diligent in submitting all payments and reports on time to avoid incurring this finance charge. This includes semi-monthly statements of gross revenues, which are due with royalty payments. Paying close attention to due dates and ensuring timely payments will help franchisees maintain a positive financial standing with Apricot Lane and avoid additional costs.