What are the consequences if a Best Brains franchisee defaults on their financing obligations?

According to Best Brains's 2025 Franchise Disclosure Document, if a franchisee defaults on their financing obligations to Best Brains, several consequences may occur. Best Brains offers financing for startup costs up to $30,000 for Teacher Centers, which can be used for furniture, build-out, contractor pay, rent, and other related expenses. This financing comes with a 0% interest rate and a repayment period of 24 months, starting on the first day of class.

However, if a Best Brains franchisee defaults on this financing, the obligation to pay the entire amount due will be accelerated. This means the franchisee will immediately owe the full remaining balance. Additionally, the franchisee will be responsible for covering Best Brains's court costs and attorney fees incurred while collecting the debt.

Furthermore, defaulting on the financing agreement can lead to the termination of the Best Brains franchise agreement. The franchisee also waives certain legal rights, including the right to a jury trial, homestead and other exemptions, and the right to presentment, demand, protest, and notice of dishonor. This comprehensive set of consequences highlights the importance of meeting the financial obligations outlined in the franchise agreement and promissory note.