What is the minimum credit line a Hck Hot Chicken franchisee must maintain on their credit card?

According to Hck Hot Chicken's 2025 Franchise Disclosure Document, franchisees must maintain a credit card account in good standing with a minimum available credit line of $10,000 throughout the term of the franchise agreement, including any renewal terms. Additionally, franchisees must complete a credit card authorization form that allows Hck Hot Chicken to charge the credit card for any past due amounts owed to Hck Hot Chicken or an approved supplier if an EFT payment is unsuccessful.

This requirement ensures that Hck Hot Chicken has a means of collecting any unpaid royalties, brand fund contributions, or other fees owed by the franchisee. It also provides a safety net for payments to approved suppliers. The franchisee is responsible for maintaining the credit card account in good standing and ensuring that the credit line remains at or above the $10,000 minimum.

Franchisees should consider this requirement when evaluating the financial obligations of the franchise. They need to ensure they can obtain and maintain a credit card with the required credit line. Failure to maintain the required credit line or to authorize Hck Hot Chicken to charge the card could result in a breach of the franchise agreement.

This type of requirement is not uncommon in franchising, as it provides the franchisor with a degree of financial security and a mechanism for collecting overdue payments. However, the specific amount of the required credit line can vary depending on the franchise system and the nature of the business.