For what service does Itan charge a monthly EFT processing fee?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
ccounted for; (ii) require that gift card proceeds be paid to us or deposited into a trust account we control for subsequent disbursement to the Salons(s) where the gift card is redeemed; and (iii) retain proceeds from unredeemed gift cards.
- (e) Processing Customer Payments and Account Transfers. We currently provide electronic funds
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, franchisees are charged a monthly EFT (Electronic Funds Transfer) processing fee of $10 for electronic funds processing services. This service pertains to customers who have a membership or service agreement with the franchisee that allows the customer's account to be debited electronically for payments owed to the franchisee.
This means that Itan franchisees are required to use Itan's electronic funds processing for customer payments made via electronic debits. For each salon, the franchisee will be charged $10 per month for this service. This fee is in addition to other technology fees, such as the $30 per month technology fee and SharePort license fees that range from $4 to $20 per user monthly.
It is important for prospective franchisees to factor this monthly fee into their operating expenses. While electronic payment processing provides convenience for both the franchisee and the customer, the associated costs should be considered. Franchisees should also inquire about any potential increases in this fee and whether there are alternative payment processing options available. Understanding the full scope of technology-related fees is crucial for assessing the overall profitability of an Itan franchise.