When must an Aira Fitness franchisee furnish a report of Gross Sales for the preceding calendar month?

According to Aira Fitness's 2025 Franchise Disclosure Document, franchisees must furnish a report of Gross Sales for the preceding calendar month on the first day of each calendar month. The report must be submitted in the manner designated by Aira Fitness, potentially through required software programs.

This requirement ensures that Aira Fitness can accurately track each franchisee's sales and calculate royalties and other fees. Franchisees should be diligent in maintaining accurate records and submitting reports on time to avoid potential issues. Failure to report Gross Sales on time may allow Aira Fitness to estimate sales and withdraw unpaid royalties and fees through an Approved Payment Processor.

Additionally, Aira Fitness retains the right to audit a franchisee's business operations, records, and reports, excluding employment records. If an audit reveals an understatement of Gross Sales, the franchisee is responsible for paying the owed royalties, National Marketing Fees, and other fees, along with interest and late fees, within ten days of receiving the audit report. If the understatement exceeds two percent or if the audit was necessitated by the franchisee's failure to provide required reports, the franchisee will also bear the cost of the audit.

It is important for prospective Aira Fitness franchisees to understand these reporting and audit requirements, as they can have significant financial implications. Maintaining accurate records and submitting timely reports are crucial for a smooth and compliant franchise operation.