When must a 1 800 Packouts franchisee furnish a statement of Gross Sales for the preceding month?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
- (1) You must furnish to us the following reports: (a) concurrently with the payment of the Royalty Fees, a statement of the Gross Sales for the preceding month; (b) within 10 days after the end of each calendar month, an unaudited statement of profit and loss and financial condition of the Franchised Business for the preceding month; and (c) within 90 days after the end of your fiscal year, a fiscal year-end balance sheet and income statement and statement of changes in financial position of the Franchised Business for such fiscal year, reflecting all year-end adjustments, prepared in accordance with generally accepted accounting principles.
Source: Item 23 — RECEIPT (FDD pages 67–238)
What This Means (2025 FDD)
According to 1 800 Packouts' 2025 Franchise Disclosure Document, franchisees must furnish a statement of Gross Sales for the preceding month concurrently with the payment of Royalty Fees. This means that a 1 800 Packouts franchisee is required to regularly report their sales figures to the franchisor.
In addition to the monthly Gross Sales report, 1 800 Packouts franchisees must also provide an unaudited statement of profit and loss and financial condition within 10 days after the end of each calendar month. Furthermore, within 90 days after the end of the fiscal year, franchisees must submit a fiscal year-end balance sheet, income statement, and statement of changes in financial position, prepared according to generally accepted accounting principles.
These reporting requirements ensure that 1 800 Packouts has access to the financial performance data of each franchise location. This allows them to calculate royalty fees, monitor the overall health of the franchise system, and potentially identify any issues or areas where franchisees may need support. Franchisees should maintain accurate and readily available accounting records to comply with these requirements.