What account number information is Hck Hot Chicken requesting in the FDD?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT I-4
AUTOMATED CLEARING HOUSE PAYMENT AUTHORIZATION FORM
Franchisee Information:
Franchisee Name
Business No.
Franchisee Mailing Address (street)
Franchisee Phone No.
Franchisee Mailing Address (city, state, zip)
Contact Name, Address and Phone number (if different from above)
Franchisee Email Address
Bank Account Information:
Bank Name
Bank Mailing Address (street, city, state, zip)
Checking or Savings
Bank Account No.
Bank Routing No. (9 digits)
Bank Mailing Address (city, state, zip)
Bank Phone No.
Authorization:
Franchisee hereby authorizes Hot Chikn Kitchn LLC ("Franchisor") to initiate debit entries to Franchisee's account with the Bank listed above, and Franchisee authorizes the Bank to accept and to debit the amount of such entries to Franchisee's account. Each debit shall be made from time to time in an amount sufficient to cover any fees payable to Franchisor pursuant to any agreement between Franchisor and Franchisee as well as to cover any purchases of goods or services from Franchisor or any affiliate of Franchisor. Franchisee agrees to be bound by the National Automated Clearing House Association (NACHA) rules in the administration of these debit entries. Debit entries will be initiated only as authorized above. This authorization is to remain in full force and effect until Franchisor has received written notification from Franchisee of its termination in such time and in such manner as to afford Franchisor and the Bank a reasonable opportunity to act on it. Franchisee shall notify Franchisor of any changes to any of the information contained in this authorization form at least 30 days before such change becomes effective.
Source: Item 22 — CONTRACTS (FDD pages 54–55)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, they require franchisees to complete an Automated Clearing House (ACH) Payment Authorization form. This form authorizes Hck Hot Chicken to debit payments from the franchisee's bank account for fees and purchases.
The ACH form requires the franchisee to provide their bank name, mailing address, whether the account is checking or savings, the bank account number, the bank routing number (9 digits), and the bank phone number. The franchisee must also authorize Hck Hot Chicken to initiate debit entries to cover fees payable under any agreement, as well as purchases of goods or services from Hck Hot Chicken or its affiliates.
This authorization remains in effect until Hck Hot Chicken receives written notification of termination from the franchisee, with sufficient time for Hck Hot Chicken and the bank to act on it. Franchisees are also required to notify Hck Hot Chicken of any changes to the information on the authorization form at least 30 days before the change takes effect. This ensures that Hck Hot Chicken can collect payments efficiently and franchisees remain in good standing.