For Chop5 Salad Kitchen, what is the ACH Authorization Form attached as?
Chop5_Salad_Kitchen Franchise · 2024 FDDAnswer from 2024 FDD Document
You must sign an ACH Authorization Form (attached to the Franchise Agreement as ATTACHMENT "E") permitting us to electronically debit your designated bank account for all amounts owed to us and our affiliates (other than fees due within 15 days after signing the Franchise Agreement). You must deposit all Gross Sales into the bank account and ensure sufficient funds are available for withdrawal before each due date.
Source: Item 6 — OTHER FEES (FDD pages 12–17)
What This Means (2024 FDD)
According to Chop5 Salad Kitchen's 2024 Franchise Disclosure Document, the ACH Authorization Form is attached to the Franchise Agreement as ATTACHMENT "E". This form allows Chop5 Salad Kitchen to electronically debit the franchisee's designated bank account for all amounts owed to them and their affiliates. However, this excludes fees due within 15 days after signing the Franchise Agreement.
This means that as a Chop5 Salad Kitchen franchisee, you will be required to authorize electronic debits from your bank account for various fees and payments owed to the franchisor. It is important to ensure that sufficient funds are available in the designated bank account before each due date to avoid any potential issues or penalties.
Franchisees are responsible for depositing all gross sales into the bank account and ensuring sufficient funds are available for withdrawal before each due date. This arrangement provides Chop5 Salad Kitchen with a convenient and reliable method for collecting payments, while also placing the responsibility on the franchisee to manage their finances and ensure timely payments.