When is the renewal fee payable for an Azal Coffee franchise?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
Your payments to us for royalty, local advertising fees, marketing fund contributions, mobile application and technology fees, training, renewal and transfer fees, management fees, mystery shopper fees, relocation fees, litigation expenses, late charges and interest, amounts owed for products or services provided by us or our affiliates, amounts owed for maintenance expenses we incur under Section 8.8, amounts owed for management fees, amounts owed for liquidated damage amounts, and all other amounts you owe to us or our affiliates must be made by electronic or similar funds transfer in the appropriate amounts from your bank account to our accounts, and at the places or in the manner we may specify. You must make payments at the times specified in this Agreement or as we may otherwise specify. You agree that we may specify payment by electronic fund transfers that we initiate. You must sign and deliver to your bank and to us the documents necessary to authorize and effectuate fund transfers as specified by us. You agree not to terminate the authorization as long as this Agreement is in effect. You agree not to close your bank account without providing us prior written notice and establishing a substitute bank account for the transfers. You also agree to make all required payments to us daily or weekly or at some other interval, instead of monthly or as otherwise provided in this Agreement, if we specify. You acknowledge that we may require you to make required payments at different intervals than other Azal Coffee franchisees.
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, the timing of renewal fee payments is determined by the franchise agreement or as otherwise specified by Azal Coffee.
The franchisee is obligated to make payments for various fees, including renewal fees, via electronic funds transfer from their bank account to Azal Coffee's accounts. These payments must be made at the times specified in the agreement or as Azal Coffee may specify. Azal Coffee retains the right to specify payment by electronic fund transfers and may require franchisees to authorize these transfers with their bank.
Azal Coffee can also specify that required payments be made daily, weekly, or at other intervals instead of monthly, and may require different payment intervals from different Azal Coffee franchisees. This means that the timing of the renewal fee payment can vary and is subject to the franchisor's discretion, requiring franchisees to stay informed of any specific payment instructions provided by Azal Coffee.