What is the typical payment term offered by suppliers to Petro Stopping Center?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
9.14 Credit. If you desire to purchase Products or Services from us on credit, you must establish a line of credit with our, or our Affiliate's, credit department. We, in our sole discretion, shall have the right to establish (and modify or change, from time to time) the terms of credit which we offer to you. As a condition to supplying Products or Services to you on credit, we will require that you provide us with certain financial statements on a monthly basis, and we may require additional security from you and/or charge you a fee for such credit. If you fail to fulfill the terms of payment or if your financial condition deteriorates, as determined in our sole discretion, we may, without prejudice to any other lawful remedy, withhold Products and Services until payment is made, demand cash payment, demand advance payment or terminate this Agreement. We may apply any payment made by you or on your behalf to any indebtedness owed to us. No payment made to us by check or other instrument shall contain a restrictive endorsement of any kind. A restrictive endorsement shall have no legal effect, even if the instrument restrictively endorsed is processed for payment and we retain the proceeds. Among other things, we may shorten or change then-existing payment terms for your purchases of Products or Serv
Source: Item 14 — Other investments (FDD pages 131–208)
What This Means (2025 FDD)
According to the 2025 Petro Stopping Center FDD, if a franchisee desires to purchase products or services from Petro Stopping Center on credit, they must establish a line of credit with Petro Stopping Center's, or its affiliate's, credit department. Petro Stopping Center, in its sole discretion, has the right to establish (and modify or change, from time to time) the terms of credit which they offer to the franchisee.
As a condition to supplying products or services on credit, Petro Stopping Center will require that the franchisee provide certain financial statements on a monthly basis, and they may require additional security and/or charge a fee for such credit.
If the franchisee fails to fulfill the terms of payment or if their financial condition deteriorates, as determined in Petro Stopping Center's sole discretion, Petro Stopping Center may, without prejudice to any other lawful remedy, withhold products and services until payment is made, demand cash payment, demand advance payment, or terminate the Franchise Agreement. Petro Stopping Center may apply any payment made by the franchisee to any indebtedness owed to them. Petro Stopping Center may also shorten or change then-existing payment terms for the franchisee's purchases of products or services.