How much is the Pump It Up late payment fee?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Late Payment Fee (1) | $75 for each day that any payment is late. | Due on demand. | We will debit the Late Payment Fee from your business checking account. |
Source: Item 6 — OTHER FEES (FDD pages 15–21)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, if a franchisee makes a late payment to Pump It Up, they will incur a late payment fee of $75 for each day the payment is late. This fee is due on demand, meaning Pump It Up can request immediate payment of the fee. Pump It Up will debit the late payment fee directly from the franchisee's business checking account.
Late fees are a common aspect of franchise agreements, intended to encourage timely payments of royalties, marketing contributions, and other fees. The specific amount and terms can vary significantly between franchise systems. Some franchisors may charge a percentage-based late fee, while others, like Pump It Up, impose a fixed daily charge.
For a prospective Pump It Up franchisee, it's crucial to understand the due dates for all payments and ensure sufficient funds are available in the designated business checking account to avoid these daily late fees. Given that the late fee is charged per day, even a short delay in payment can quickly accumulate a significant expense. Franchisees should also be aware of Pump It Up's right to debit the fee directly from their account, emphasizing the importance of maintaining accurate account information and proactively addressing any potential payment issues.