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Can Chocolate Bash require an alternative payment method for royalty fees and other amounts due?

Chocolate_Bash Franchise · 2024 FDD

Answer from 2024 FDD Document

We currently require you to pay royalty fees and other amounts due to us by preauthorized bank draft. However, we can require an alternative payment method.

Source: Item 6 — OTHER FEES (FDD pages 9–13)

What This Means (2024 FDD)

According to Chocolate Bash's 2024 Franchise Disclosure Document, Chocolate Bash currently requires franchisees to pay royalty fees and other amounts due via preauthorized bank draft. However, Chocolate Bash retains the right to require an alternative payment method from its franchisees.

This means that while the standard payment method is currently a preauthorized bank draft, Chocolate Bash has the flexibility to change this requirement. This could involve using electronic funds transfer, checks, or other methods.

For a prospective franchisee, this implies that they should be prepared to adapt to potential changes in payment procedures as directed by Chocolate Bash. It is advisable to confirm with Chocolate Bash what alternative payment methods they might require in the future and whether any additional fees or requirements are associated with these alternative payment methods.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.