What is the maximum interest rate that Best Brains can charge on overdue amounts?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
- E. Interest. You must pay interest of 2% per month, or the maximum permitted by law, on any amounts owed to us after the due date.
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, franchisees must pay interest on any overdue amounts. Best Brains charges interest at a rate of 2% per month, or the maximum rate permitted by law, on any amounts owed after the due date.
This means that if a Best Brains franchisee fails to pay fees or other amounts owed to Best Brains on time, they will incur interest charges. The interest rate is set at 2% per month, but if the legally allowed maximum interest rate in the franchisee's jurisdiction is lower than 2% per month, then Best Brains will only charge the maximum legally permitted rate.
Franchisees should be aware of this policy and ensure that all payments to Best Brains are made on time to avoid incurring interest charges. It is also important to understand the laws in their specific location, as those laws dictate the maximum interest rate that can be charged.