What is the total amount of lease payments covered by the personal guaranty for a Pearce Bespoke franchise?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
| Total lease payments | $ 4 | 5,800 |
|---|---|---|
| Less: interest | 1 | ,958 |
Source: Item 23 — RECEIPTS (FDD pages 39–172)
What This Means (2025 FDD)
According to the 2025 Pearce Bespoke FDD, the total lease payments amount to $5,800. However, this amount includes $1,958 in interest.
This implies that a franchisee's personal guarantee may cover lease obligations up to $5,800, which includes interest. A personal guarantee means that the franchisee is personally liable for the lease payments if the Pearce Bespoke franchise fails to make them.
Prospective franchisees should carefully review the lease agreement and the terms of the personal guarantee to fully understand their financial obligations and potential risks. It is important to consult with a financial advisor and attorney to assess the implications of signing a personal guarantee for a Pearce Bespoke franchise.