If Budget requires EFT payments, what documents must a Budget franchisee sign and deliver?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless otherwise stated, all fees are non-refundable and are uniformly imposed and collected by, and payable to, Budget. Budget may require you to pay by electronic funds transfer ("EFT"), in which case you must sign and deliver the documents necessary for Budget to implement this system and make the required funds available for withdrawal on or before the designated due date.
Source: Item 6 — OTHER FEES(1) (FDD pages 17–29)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, if Budget requires franchisees to pay by electronic funds transfer (EFT), the franchisee must sign and deliver the documents necessary for Budget to implement this system. These documents ensure that Budget can withdraw the required funds on or before the designated due date.
This requirement means that prospective Budget franchisees should be prepared to comply with EFT payment methods if mandated by Budget. The specific documents involved are not detailed in this excerpt, but they would likely include agreements authorizing Budget to debit the franchisee's bank account for fees and other charges.
It is important for potential franchisees to understand the implications of EFT payments, including the timing of withdrawals and the potential for overdraft fees if sufficient funds are not available. Franchisees should clarify with Budget what specific documents are required for EFT implementation to ensure they are fully aware of their obligations.