Where can I find the specific Payment Day for the Big Blue Swim School Royalty fee?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to authorize us to debit your business checking or other account automatically for the Royalty, Software License Fee, Brand Fund contribution, MSC Fee, and other amounts due under this Agreement and any related agreement between us (or our affiliates) and you. We will debit your account no later than the Payment Day for the Royalty, Software License Fee, Brand Fund contribution, MSC Fee, and other amounts due. Funds must be available in the account before the Payment Day for withdrawal by electronic transfer. We may require you to obtain, at your expense, overdraft protection for your bank account in an amount we specify. You must reimburse any "insufficient funds" charges and related expenses we incur due to your failure to maintain sufficient funds in your bank account. You may not close this account without first establishing, and notifying us of, a new account that we are authorized to debit as provided in this Section.
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
According to the 2025 Big Blue Swim School FDD, the specific Payment Day for the royalty fee is not explicitly defined in the provided excerpts. However, Section 5.E, titled "Payment Method and Timing," indicates that Big Blue Swim School will debit the franchisee's account no later than the Payment Day for the Royalty, Software License Fee, Brand Fund contribution, MSC Fee, and other amounts due. The Payment Day is determined by Big Blue Swim School.
This section also states that franchisees must authorize Big Blue Swim School to automatically debit their business checking or other account for these fees. Funds must be available in the account before the Payment Day for withdrawal by electronic transfer. Big Blue Swim School may also require franchisees to obtain overdraft protection for their bank account in an amount they specify. Franchisees are responsible for reimbursing any "insufficient funds" charges and related expenses incurred due to their failure to maintain sufficient funds in their bank account.
While the FDD excerpts do not specify the exact Payment Day, they do emphasize the importance of maintaining sufficient funds in the designated account to avoid penalties. A prospective franchisee should seek clarification from Big Blue Swim School regarding how the Payment Day is determined and communicated to franchisees to ensure timely payments and avoid any potential issues.