What is the amount of the financing review fee that a Petro Stopping Center franchisee must pay?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event that the terms of any financing you seek to obtain require us to be made a party to any document relating to the financing, we retain the right to approve, in advance, any provisions affecting us in any such documentation, which provisions shall be in form acceptable to us (in our sole discretion) and our counsel. Any and all costs and expenses, including reasonable attorneys fees, incurred by us in connection with the review or negotiation of the Loan Documents and the negotiation of any subordination agreement, shall be promptly paid by you. In addition, you must pay us the Financing Review Fee set forth in Section 9.7 and reimburse us for such other reasonable legal fees we incur in connection with our review and negotiation of any Loan Documents. We will typically complete our review of Loan Documents within two (2) weeks of your submission of a full and complete set of Loan Documents.
Source: Item 14 — Other investments (FDD pages 131–208)
What This Means (2025 FDD)
According to the 2025 Petro Stopping Center Franchise Disclosure Document, if a franchisee seeks financing and Petro Stopping Center is required to be a party to the financing documents, the franchisee is responsible for covering all costs and expenses incurred by Petro Stopping Center for reviewing and negotiating loan documents. This includes reasonable attorney's fees. In addition to covering these costs, the franchisee must also pay Petro Stopping Center a Financing Review Fee, as detailed in Section 9.7 of the FDD.
However, the specific amount of the Financing Review Fee is not disclosed in the provided excerpts. Section 9.7, which should contain the exact fee amount, is not included in the provided documentation.
Prospective Petro Stopping Center franchisees should carefully review Section 9.7 of the complete Franchise Disclosure Document to understand the exact amount of the Financing Review Fee and factor this cost into their financial planning. It would also be prudent to discuss this fee with current franchisees to understand how it has been applied in practice and to anticipate potential legal fees associated with the loan document review.