factual

Does Crave Cookies generally charge interest on past due accounts?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

Generally, the Company does not charge interest on past due accounts. Delinquent receivables are written off based on individual credit evaluation and specific circumstances of the customer.

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 47)

What This Means (2025 FDD)

According to Crave Cookies' 2025 Franchise Disclosure Document, the company generally does not charge interest on past due accounts. Instead, Crave Cookies writes off delinquent receivables based on individual credit evaluations and the specific circumstances of each customer.

For a prospective franchisee, this policy means that if customers owe money to Crave Cookies for products or services, the company typically will not add interest charges to the outstanding balance. Instead, Crave Cookies assesses each situation individually to determine if the debt is uncollectible and should be written off.

This practice can be beneficial by avoiding potentially negative customer relations that could arise from charging interest. However, it also means that Crave Cookies forgoes the opportunity to earn additional revenue from interest on overdue payments. Franchisees should be aware of this policy and factor it into their financial planning and risk assessment.

Disclaimer: This information is extracted from the 2025 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.