factual

Does the Ella Cafe Franchise Agreement include an attachment for 'ACH Authorization'?

Ella_Cafe Franchise · 2024 FDD

Answer from 2024 FDD Document

Attachment 4 to Franchise Agreement

AUTHORIZATION AGREEMENT FOR DIRECT PAYMENTS (ACH DEBITS)

Source: Item 22 — CONTRACTS (FDD page 50)

What This Means (2024 FDD)

According to Ella Cafe's 2024 Franchise Disclosure Document, the Franchise Agreement includes an attachment for 'Authorization Agreement For Direct Payments (ACH Debits)'. This attachment is listed as Attachment 4 to the Franchise Agreement.

This means that as part of the franchise agreement, Ella Cafe franchisees will likely be required to authorize direct payments, also known as ACH debits, from their bank account for various fees and payments owed to the franchisor. This is a fairly standard practice in franchising, as it allows for efficient and timely collection of royalties, marketing fees, and other recurring charges.

Prospective Ella Cafe franchisees should carefully review Attachment 4 and understand the terms and conditions of the ACH authorization. This includes the amounts that will be debited, the frequency of payments, and the procedures for modifying or canceling the authorization. Franchisees should also ensure they have sufficient funds in their account to cover the authorized debits to avoid any penalties or disruptions.

Disclaimer: This information is extracted from the 2024 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.