Does Management Recruiters currently charge up-front points or loan origination fees?

According to Management Recruiters' 2024 Franchise Disclosure Document, Management Recruiters does not currently charge up-front points or loan origination fees. However, Management Recruiters retains the right to implement such fees in the future.

If a franchisee obtains financing from Management Recruiters' affiliate, HQ Financial Corporation, they will be required to sign a Promissory Note and Security Agreement. The interest rate for any loan is a variable rate agreed upon by both parties and may be a combination of a number of points above the Prime Rate published by the Wall Street Journal. As an example, the Prime Rate as of December 15, 2023, was 7.5%. If the agreed rate was 3 percentage points above the Prime Rate, the initial interest rate for a loan funded near the end of 2023 would have been 10.5%.

Prospective franchisees should note that Management Recruiters may change or discontinue their financing program at any time. While they may offer financing arrangements outside of their regular programs in isolated cases, franchisees should not assume that Management Recruiters would be willing to offer any special financing to them. It is important for potential franchisees to discuss financing options and any potential future fees with Management Recruiters during their due diligence process.