What is the fee for late payments on a Caring Senior Service promissory note?
Caring_Senior_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Interest on Late Promissory Note Payments | $50 | As incurred | Payable if payment is more than five days past due. |
Source: Item 6 — OTHER FEES (FDD pages 12–17)
What This Means (2025 FDD)
According to Caring Senior Service's 2025 Franchise Disclosure Document, if a franchisee's payment on a promissory note is more than five days past due, they will incur a $50 fee. This fee is in addition to any other amounts owed to Caring Senior Service. The fee is assessed as incurred, meaning it applies each time a payment is late.
This late fee is separate from the general interest charged on all late payments to Caring Senior Service, which is 1.5% per month or the highest legal contract rate, whichever is less. The $50 fee specifically applies to promissory note payments, while the interest applies to all overdue amounts.
Franchisees should ensure timely payments to avoid these additional costs. Promissory notes are often used for financing the initial franchise fee or other startup costs, so managing these payments is crucial for maintaining a healthy financial relationship with Caring Senior Service. Failing to make timely payments can lead to additional fees and potentially impact the franchisee's standing with the company.