What is the effective date of the Southern Steer Deposit Agreement determined by?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
| by | This Deposit Agreement ("Agreement") is made as of ("Effective Date") and between Southern Steer Franchising International, LLC ("Franchisor"), and ("you", "your", "I" or "my") whose principal business address is |
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Source: Item 5 — and 7 of the FDD, Section 3.1 of the Franchise Agreement and Section 4.1 of the Multi-Unit Development Agreement are hereby amended to state that payment of the initial franchise fee and development fee will be deferred until We have satisfied Our pre-opening obligations, and You have commenced business operations. (FDD pages 168–290)
What This Means (2025 FDD)
According to the 2025 Southern Steer Franchise Disclosure Document, the effective date of the Deposit Agreement is determined by the date the agreement is made between Southern Steer Franchising International, LLC, as the franchisor, and the prospective franchisee. The agreement specifies that it is made "as of" a particular date, which serves as the Effective Date.
This date is significant because it marks the commencement of the agreement's terms and conditions. For instance, the franchisee is required to sign the Franchise Agreement at the same time as the Deposit Agreement. Furthermore, the franchisee must pay the balance of the Initial Franchise Fee either upon receiving their funds or within 30 days from the Effective Date, whichever comes first. This "Due Date" is directly tied to the Effective Date, highlighting its importance in setting the timeline for the franchisee's financial obligations.
Prospective franchisees should pay close attention to the Effective Date they enter on the Deposit Agreement, as it triggers several important deadlines and obligations. It is advisable to fully understand all implications tied to this date before signing the agreement to ensure timely compliance with all requirements.