On what basis is interest calculated for the Best Brains Promissory Note?

According to Best Brains's 2025 Franchise Disclosure Document, interest on the Promissory Note is calculated based on a 360-day year, which is comprised of twelve 30-day months. The interest rate itself is set at 0% per annum on the unpaid balance, computed from the date specified in the note.

This means that while interest does accrue, the calculation uses a simplified 360-day year for determining the daily interest charge. However, the stated interest rate is 0%, so no actual interest will be charged on the unpaid balance. This could be beneficial for a franchisee as it reduces the overall cost of borrowing from Best Brains, assuming the promissory note applies to some form of financing provided by the company.

It is important for a prospective Best Brains franchisee to carefully review the terms of the promissory note, including any repayment schedules or other conditions, even though the interest rate is 0%. Understanding the full scope of the agreement is crucial before signing.