What is the current service charge for a non-sufficient funds fee for a Buona franchise?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Interest on Late Payments | Highest rate of interest permitted by law not to exceed 1.5% per month | As incurred | This interest rate applies to any money you owe us or our affiliate that is more than 7 days overdue and will accrue until the amounts are paid in full. Interest is in addition to service and NSF charges. |
| Service Charges and Non-Sufficient Funds Fee | Currently $250 | Upon demand | Payable if an ACH transaction is not honored. |
Source: Item 6 — OTHER FEES (FDD pages 16–23)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, if a franchisee's ACH transaction is not honored, they will be charged a service charge and non-sufficient funds (NSF) fee. The current fee for this is $250, payable upon demand. This means that if a franchisee attempts to make a payment to Buona via an electronic funds transfer and the transaction fails due to insufficient funds, the franchisee will incur this $250 charge.
This fee is in addition to any interest charged on late payments. The FDD states that interest on late payments will be the highest rate of interest permitted by law, not to exceed 1.5% per month. This interest applies to any money owed to Buona or its affiliates that is more than 7 days overdue.
Prospective franchisees should be aware of these potential fees and ensure they have sufficient funds available when making payments to Buona to avoid incurring these charges. It is also important to note that Buona requires franchisees to pay fees via Automated Clearing House (ACH) or similar means, and franchisees must complete an ACH authorization form.