What is the Non-Sufficient Funds fee charged by Bb.Q Chicken per occurrence?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| (1) | (2) | (3) | (4) |
|---|---|---|---|
| Fees (1) | Amount trainees that cannot be accommodated is $1,000 per person. | Due Date | Remarks training fee as well as the trainees' expenses, including travel, lodging, meals and wages. |
| Additional On-Site | Our then-current per person training fee, plus the trainer's actual expenses. Current per person training fee = $1,000 | When billed | If you request that we provide the second round of our initial training program for additional days at your Restaurant or Food Truck, you must pay our per person training fee for each person we train at your Restaurant or Food Truck, and you must reimburse our trainer's expenses, including travel, lodging and meals (You must provide lodging in three-star hotels and daily meals in the amount of $60.) |
| Training | |||
| Non-Sufficient Funds | $100 per occurrence | As incurred | If your check is returned or an electronic funds transfer from your bank account is denied, for each occurrence, we may charge you a Nonsufficient Funds Fee. If you incur three non-sufficient funds fees in any 12 months period, we have the right to terminate your Fran |
Source: Item 6 — OTHER FEES (FDD pages 15–21)
What This Means (2025 FDD)
According to Bb.Q Chicken's 2025 Franchise Disclosure Document, a franchisee will be charged a Non-Sufficient Funds fee of $100 per occurrence. This fee is incurred if a check is returned or an electronic funds transfer from the franchisee's bank account is denied. The fee is due as incurred.
This means that if a franchisee's payment to Bb.Q Chicken is rejected due to insufficient funds, Bb.Q Chicken will charge the franchisee $100 for each instance. This can occur with paper checks or electronic transfers. It is important for franchisees to ensure they have sufficient funds available when payments are due to avoid these charges.
Furthermore, the FDD states that if a Bb.Q Chicken franchisee incurs three non-sufficient funds fees within any 12-month period, Bb.Q Chicken has the right to terminate the Franchise Agreement. This highlights the importance of maintaining good financial standing and ensuring timely payments to avoid potential penalties and even termination of the franchise agreement.