What is the purpose of the Operating Account for a Hydrodog franchise?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
Through, and as part of, the Business Management System we may require that you establish an operating account with a bank or other financial institution that we designate or approve (the "Operating Account").
The Operating Account shall be the primary bank account utilized by your HydroDog Business.
We shall have the right to make automated withdrawals from the Operating Account for agreed-upon fees and payments due to us.
We, in our sole judgment, shall have the right to designate one of our officers or authorized representatives to have signature rights to the Operating Account, solely for the purpose of conducting transactions related to the franchise agreement.
You must utilize the Operating Account in accordance with the System Standards as we designate (e.g.
Business Management System rules).
We may change, alter or amend the functions, components, System Standards, Computer System, Purchase Order System, Technology Fund and any other aspect of the Business Management System from time-to-time.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to the 2025 Hydrodog Franchise Disclosure Document, the Operating Account serves as the primary bank account for the franchisee's Hydrodog business. Hydrodog may require franchisees to establish this account with a bank or financial institution that Hydrodog designates or approves.
Hydrodog retains the right to make automated withdrawals from this account to cover agreed-upon fees and payments owed to them. Additionally, Hydrodog, at its discretion, can designate one of its officers or authorized representatives with signature rights to the Operating Account. However, this is solely for conducting transactions related to the franchise agreement.
The franchisee is obligated to use the Operating Account in accordance with Hydrodog's System Standards, which are part of the Business Management System rules. Hydrodog also reserves the right to modify various aspects of the Business Management System, including the functions, components, System Standards, Computer System, and Purchase Order System, from time to time.