What is the minimum late fee that Chocolate Fish Coffee charges?

According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, the minimum late fee is $30. Chocolate Fish Coffee may charge this fee if a franchisee fails to make a required payment when it is due. However, the FDD notes that if this amount exceeds the maximum allowed by law, then the maximum allowed by law will be charged instead.

This means that a Chocolate Fish Coffee franchisee could face a $30 late fee, or a lower amount depending on local regulations. It is important to note that this fee is in addition to any other remedies Chocolate Fish Coffee might pursue for late payment, such as interest on the unpaid amount.

Franchisees should ensure they understand the payment schedule and methods outlined in the franchise agreement to avoid incurring late fees. It would be prudent for prospective franchisees to inquire about any historical instances where the maximum late fee allowed by law was invoked, and what those amounts were, to better understand the potential financial impact.