What is the business purpose representation made by the undersigned in the Best Brains Promissory Note?

According to the 2025 Best Brains Franchise Disclosure Document, the promissory note includes a representation and warranty from the borrower (the undersigned) to Best Brains, Inc. (the Holder). This representation states that the loan being taken out is specifically for business, commercial, or investment purposes. This is a standard clause in promissory notes to ensure the loan complies with relevant regulations and is used for its intended purpose related to the Best Brains franchise.

This representation has important implications for a prospective Best Brains franchisee. It means that the funds obtained through the promissory note must be used for legitimate business-related activities, such as setting up the franchise location, purchasing equipment, or covering initial operating expenses. It prevents the franchisee from using the loan for personal expenses or other non-business ventures.

Additionally, the promissory note allows the borrower to prepay the note, in whole or in part, without incurring any penalties. This provides flexibility for the franchisee to manage their finances and potentially reduce their debt burden if they have the means to do so. The note also stipulates that the borrower is responsible for covering all attorney fees and other costs associated with the collection or enforcement of the note, which is a common provision in lending agreements to protect the lender's interests in case of default.