Regarding the notes receivable from a related party, what are the interest terms for Crave Cookies?

According to Crave Cookies' 2025 Franchise Disclosure Document, notes receivable from a related party are subject to specific terms. These notes represent amounts owed to Crave Cookies Franchising, LLC by a related party to cover operating expenses and other fees that Crave Cookies paid on their behalf. The related party is owned entirely (100%) by the same individuals who own Crave Cookies Franchising, LLC.

Importantly, the terms of these notes receivable are "non-interest bearing," meaning that Crave Cookies does not charge the related party any interest on the outstanding balance. Additionally, the notes are "due on demand," which means that Crave Cookies can request repayment of the outstanding balance at any time.

For a prospective franchisee, this information is relevant in understanding the financial relationships between Crave Cookies and its related entities. While this specific arrangement doesn't directly impact franchisees, it provides insight into the company's financial practices and how it manages transactions with affiliated parties. It is common for franchisors to have related-party transactions, and the key is whether these transactions are conducted at arm's length and are fully disclosed, as they are here.