Does Nothing Bundt Cakes reserve the right to require franchisees to pay fees by other means?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
We reserve the right to require you to pay any fees due under the Franchise Agreement by such other means and at such periods as we may specify from time to time, including any payment made to our affiliates.
Source: Item 6 — OTHER FEES (FDD pages 23–30)
What This Means (2025 FDD)
According to the 2025 Nothing Bundt Cakes Franchise Disclosure Document, Nothing Bundt Cakes retains the right to modify the payment methods franchisees use to pay fees. Currently, Nothing Bundt Cakes uses an electronic funds transfer program (EFT Program) to deduct Royalty and advertising fees from the franchisee's designated bank account on Tuesdays. Franchisees must authorize these electronic withdrawals.
However, Nothing Bundt Cakes explicitly reserves the right to require franchisees to pay fees through alternative methods and at different intervals than the current weekly EFT system. This includes the possibility of directing payments to Nothing Bundt Cakes's affiliates.
This provision grants Nothing Bundt Cakes flexibility in how it collects fees, which could be influenced by changes in technology, banking regulations, or the franchisor's internal policies. For a prospective franchisee, this means being prepared to adapt to potential changes in payment procedures, which could include different payment schedules or the use of various payment platforms. It is important to stay informed of any updates to the payment process as communicated by Nothing Bundt Cakes.