Where can I find information about interest on late payments to Floors To Go?

According to the 2025 Floors To Go FDD, specific details regarding interest on late payments are not explicitly detailed within the provided exhibits. However, Exhibit D-1, the California Disclosure, mentions that "Any interest rate charged to a California franchisee shall comply with the California Constitution. The interest rate shall not exceed either (a) 10% annually or (b) 5% annually plus the prevailing interest rate charged to banks by the Federal Reserve Bank of San Francisco, whichever is higher." This clause applies specifically to franchisees in California and ensures that any interest charged complies with the state's constitutional limits.

For prospective franchisees, this means that if you are opening a Floors To Go franchise in California, the interest rate on any late payments or outstanding balances will be capped as described. It is important to note that this specific cap only applies to California franchisees. Franchisees in other states may be subject to different interest rate regulations as determined by their respective state laws and the franchise agreement.

To fully understand the interest rate policies for late payments, a prospective franchisee should carefully review the franchise agreement and any state-specific addenda applicable to their location. It would also be prudent to directly ask Floors To Go for clarification on the interest rates and terms applied to late payments in their specific state to ensure full compliance and understanding.