What is included in 'Bank & Transaction Fees' for a Lees Famous Recipe franchise, and what adjustments are made?

According to Lees Famous Recipe's 2025 Franchise Disclosure Document, 'Bank & Transaction Fees' encompass all bank and credit card fees, including processing fees, merchant account fees, and any other bank service-related charges. This is a standard expense category for businesses that handle electronic payments.

The FDD indicates that adjustments are made to these fees to reflect franchisee enrollment and participation in the Shift4 Advantage program, as well as a standard third-party credit card processing program available to all franchisees. This suggests that Lees Famous Recipe has negotiated specific rates or programs to help franchisees manage these costs effectively. By enrolling in these programs, franchisees may benefit from lower processing fees or other advantages, potentially reducing their overall expenses.

For a prospective franchisee, this means that the financial performance representations provided in the FDD already account for these adjustments. The reported 'Bank & Transaction Fees' are likely reflective of the costs a franchisee would incur while participating in the recommended programs. It is important for potential franchisees to understand the terms and conditions of the Shift4 Advantage program and the standard third-party credit card processing program to accurately forecast their expenses. Franchisees should also confirm whether there are any alternative processing options available and compare the costs and benefits before making a decision.