Is the ACH Authorization Form included as an attachment to the Itan Franchise Agreement?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
You sign an ACH Authorization Form (attached to the Franchise Agreement as ATTACHMENT "E") permitting us to electronically debit your designated bank account for all amounts owed to us and our affiliates (other than fees due less than 15 days after signing the Franchise Agreement). You must deposit all Gross Sales into the bank account and ensure sufficient funds are available for withdrawal before each due date.
Source: Item 22 — CONTRACTS (FDD pages 43–44)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the ACH Authorization Form is indeed included as an attachment to the Franchise Agreement. Specifically, it is identified as ATTACHMENT "E".
This form allows Itan to electronically debit the franchisee's designated bank account for all amounts owed to Itan and its affiliates. However, this excludes fees due less than 15 days after signing the Franchise Agreement. This arrangement ensures that Itan can efficiently collect ongoing fees, such as royalties and marketing contributions, from its franchisees.
It is important for prospective Itan franchisees to carefully review the ACH Authorization Form and understand the terms and conditions related to electronic fund transfers. Franchisees must deposit all Gross Sales into the bank account and ensure sufficient funds are available for withdrawal before each due date. This includes understanding the frequency and amounts of withdrawals, as well as any potential fees or penalties associated with insufficient funds or failed transactions.