What late charge fee does Aunt Millies Bakeries assess for overdue monthly payments?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
xpenses (Promissory Note, §§6 and 7).
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- Late Charges. If First Capital has not received the full amount of any monthly payment by the end of 15 calendar days after the due date, First Capital will charge a late charge fee in the amount of 5% of the overdue monthly payment (Promissory Note, §7.a.).
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- Loss of Legal Right Upon Default. Upon default, you waive your right to presentment, demand for payment, protest, notice of dishonor, notice of protest and notice of default of the note (Promissory Note, §7.c.).
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- Closing Fees.
Source: Item 10 — FINANCING (FDD pages 21–24)
What This Means (2025 FDD)
According to Aunt Millies Bakeries's 2025 Franchise Disclosure Document, there are two potential financing options available, each with its own late charge policy. If a franchisee opts for financing through First Capital Acceptance Corp., a late charge of 5% of the overdue monthly payment will be applied if the full payment is not received within 15 calendar days of the due date.
Similarly, if a franchisee chooses to finance through Distribution Services of America, Inc. (DSA), a 5% late charge fee on the overdue monthly payment will be incurred if the full amount is not received by DSA within 15 calendar days after the payment due date.
It is important for prospective Aunt Millies Bakeries franchisees to note these late charge policies and ensure timely payments to avoid these additional fees. Franchisees should carefully review the terms of their chosen financing agreement to fully understand the conditions and potential penalties associated with late payments.