What is the amount of each weekly installment for the note payable with a bank for Pearce Bespoke?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| Deferred Commissions | Non-refundable Franchise Fees | ||
|---|---|---|---|
| Year ending December 31: | |||
| 2025 | $ | 79,960 | $ 139,500 |
| 2026 | 79,960 | 90,000 | |
| 2027 | 79,960 | 90,000 | |
| 2028 | 79,960 | 90,000 | |
| 2029 | 79,960 | 90,000 | |
| Thereafter | 301,884 | 314,298 | |
| $ | 701,684 | $ 813,798 | |
| NOTE 3 – NOTES PAYABLE | |||
| Notes payable consist of the following at December 31, | 2024 | ||
| Note payable with a bank. Face amount of $150,000, payable in 54 | in July 2025. |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, one of the notes payable with a bank has weekly installments of $3,528. The face amount of this note is $150,000, and it is payable in 54 weekly installments. This includes a fixed fee of 27% of the face amount of the note, with the final payment due in July 2025. The note is collateralized by the assets of the company.
This information is relevant to potential franchisees as it provides insight into the financial obligations and debt structure of Pearce Bespoke. Understanding the terms of these notes payable, such as the installment amounts, interest rates (implied in the fixed fee), and collateral, can help franchisees assess the financial stability and risk associated with the franchisor.
It is important to note that this is just one example of a note payable for Pearce Bespoke. The document also mentions another note payable with different terms. Reviewing all financial statements and notes is crucial for a comprehensive understanding of the franchisor's financial health. Prospective franchisees should consult with a financial advisor to fully understand the implications of these financial obligations.