Under the Chesters EFA, what is the condition for Chesters to prepay the EFA?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
You may prepay this EFA only in accordance with the Prepayment Addendum referencing the Agreement No. above, which is made a part hereof.
Source: Item 23 — **RECEIPTS (FDD pages 48–197)
What This Means (2025 FDD)
According to Chesters' 2025 Franchise Disclosure Document, a franchisee may prepay the EFA (Equipment Finance Agreement). However, this prepayment is only allowed if it adheres to the conditions outlined in the Prepayment Addendum, which is explicitly referenced by the Agreement Number and considered an integral part of the EFA.
This means that any franchisee considering early repayment of their EFA loan with Chesters must carefully review the Prepayment Addendum. This document will stipulate the exact terms, conditions, and any potential penalties or fees associated with prepaying the loan.
It is important for prospective franchisees to obtain and thoroughly understand this addendum before signing the EFA, as it dictates the financial flexibility they will have during the loan term. Franchisees should clarify with Chesters what specific conditions or restrictions the Prepayment Addendum contains to make informed financial decisions.