Is a Promissory Note included as an exhibit in the Cool Binz Disclosure Document?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
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- The Undersigned hereby confirms that the proceeds of this Promissory Note will be used for the business purpose of starting a COOL BINZ franchised business.
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- It is the parties' intent that the provisions of this Promissory Note be judicially enforced to the fullest extent permissible under applicable law. Accordingly, the parties agree that any reduction in scope or modification of any part of the provisions contained here in this Promissory Note shall not render any other part unenforceable.
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- Holder's failure to enforce any rights granted to it under this Promissory Note will not constitute a waiver of such rights.
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- This Promissory Note is binding upon and will insure to the benefit of the parties and their successors, heirs, and assigns.
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- The persons executing this Note on behalf of the Undersigned acknowledge their authority to do so.
Source: Item 22 — CONTRACTS (FDD pages 62–63)
What This Means (2025 FDD)
According to the 2025 Cool Binz Franchise Disclosure Document, a Promissory Note is referenced within Item 23, Receipts. Specifically, the document states, "The Undersigned hereby confirms that the proceeds of this Promissory Note will be used for the business purpose of starting a COOL BINZ franchised business." However, the Promissory Note itself is not explicitly listed as one of the exhibits included with the disclosure document.
Exhibit A includes the Form of Agreements, which contains the Franchise Agreement and Addenda, and the Confidentiality/Non-Disclosure Agreement. Exhibit B contains the financial statements. Other exhibits include state administrators/agents for service of process, state addenda, lists of franchisees and former franchisees, franchise organizations and independent franchisee associations, a disclosure acknowledgement questionnaire, the operations manual table of contents, a state effective dates page, and receipts.
While the FDD mentions a Promissory Note and its intended use for starting a Cool Binz franchise, it does not include the actual note as an exhibit. A prospective franchisee should ask Cool Binz for a copy of the Promissory Note, its terms, and under what circumstances it would be used. Understanding the obligations within the Promissory Note is crucial before investing in a Cool Binz franchise.