For Ledgers franchisees in North Dakota, what fees are subject to deferral?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
Item 5 of the FDD is modified with the addition of the following language: 'The franchisor defers the collection of all initial fees from North Dakota franchisees until the franchisor has completed all its pre-opening obligations and franchisee is open for business.'
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the franchisor defers the collection of all initial fees from North Dakota franchisees. This deferral lasts until Ledgers has completed all of its pre-opening obligations and the franchisee is open for business.
This modification to Item 5 of the FDD is specific to North Dakota franchisees. It means that franchisees in North Dakota will not have to pay any initial fees to Ledgers until they are ready to open their doors. This can be a significant benefit for franchisees, as it allows them to conserve capital during the start-up phase of their business.
This deferral of initial fees could reduce the financial burden on new Ledgers franchisees in North Dakota, allowing them to invest more in other areas of their business, such as marketing and operations. It also aligns the franchisor's interests with the franchisee's success, as Ledgers only receives the initial fees once the franchisee is up and running.