What is the purpose of the Authorization Form for Pearce Bespoke franchisees?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| The undersigned depositor ("Depositor" or "Licensee") hereby authorizes Pearce Bespoke Franchising, LLC ("Licensor") to initiate debit entries and/or credit correction entries to the undersigned's checking and/or savings account(s) indicated below, and the depository designated below ("Depository" or "Bank") to debit or credit such account(s) pursuant to Licensor's instructions. Please attach a voided blank check, for purposes of setting up bank and transit numbers. |
|---|
| Depository: |
| Branch: |
| City, State Zip: |
| Bank Transit/ABA Number: |
| Account Number: |
| This authority is to remain in full force and effect until 60 days after Licensor has received written |
| notification |
| from Licensee of its termination or expiration. |
| AGREED: |
| LICENSEE: |
| [FRANCHISEE ENTITY] |
| Signature: |
| Name: |
| Title: |
| Date: |
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke Franchise Disclosure Document, the Authorization Form serves to authorize Pearce Bespoke Franchising, LLC to initiate debit and credit entries to the franchisee's designated checking and/or savings accounts. This allows Pearce Bespoke to manage financial transactions directly related to the franchise agreement. The franchisee must attach a voided blank check to the form to facilitate the setup of bank and transit numbers.
This authorization remains in effect until 60 days after Pearce Bespoke receives written notification from the franchisee regarding termination or expiration of the agreement. The franchisee (licensee) must sign and date the form, providing their name and title to formalize the agreement.
This type of authorization is common in franchising, as it streamlines the process for collecting royalties, marketing fees, and other payments due to the franchisor. It ensures timely payments and reduces administrative burdens for both the franchisee and franchisor. However, franchisees should carefully review the terms and conditions to understand the scope of the authorization and their rights regarding termination or modification.