What is Schedule 2 of the Ledgers Franchise Agreement related to?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Schedule 1 | Territory |
|---|---|
| Schedule 2 | Automatic Bank Draft Authorization |
| Schedule 3 | Telephone Number Assignment |
| Schedule 4 | Lease Rider |
| Schedule 5 | Release |
| Schedule 6 | State Addenda to the Franchise Agreement |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, Schedule 2 of the Franchise Agreement pertains to the Automatic Bank Draft Authorization. This schedule likely outlines the terms and conditions under which the franchisee authorizes Ledgers to automatically debit payments from their bank account.
This is a fairly standard practice in franchising, as it ensures timely payments of royalties, marketing fees, or other ongoing financial obligations. Franchisees should carefully review this schedule to understand the amounts, frequency, and conditions under which these automatic drafts will occur.
Prospective Ledgers franchisees should pay close attention to the details in Schedule 2 to ensure they are comfortable with the automatic payment terms and that they align with their financial planning. It is important to understand the procedures for modifying or canceling the authorization, as well as any potential fees or penalties associated with failed drafts.