Does Bath Tune Up receive payments for the placement of financing?

According to Bath Tune Up's 2025 Franchise Disclosure Document, Bath Tune Up does not receive any payments for the placement of financing. Specifically, Item 10 of the FDD states that Bath Tune Up does not receive any direct or indirect payments or other consideration from any person for the placement of financing.

However, the FDD indicates that Bath Tune Up has the right to sell a franchisee's promissory note at a discount rate to a third party. The third party may be immune under the law to any defenses to payment the franchisee may have against Bath Tune Up. The FDD also states that Bath Tune Up does not guarantee any notes, leases, or obligations.

Furthermore, Bath Tune Up may provide financing to franchisees who meet their credit standards. To obtain this financing, a franchisee must sign a Secured Promissory Note and General Security Agreement. No separate personal guaranty is required. Payments begin with the first royalty due date, and the note can be prepaid without penalty. The General Security Agreement grants Bath Tune Up a security interest in substantially all of the franchisee's assets to secure payments under the Secured Promissory Note. The franchisee waives their right to notice of a collection action and to assert any defenses to collection against Bath Tune Up.