What financial statements are Angry Chickz franchisees required to submit?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
ified by an officer of Franchisee to be accurate and complete, reporting all Gross Sales for the preceding calendar month or other fiscal period designated by Company, as applicable, together with such additional financial information as Company may request, including cost of goods sold, labor costs, customer information, sales by day-part, sales by customer type.
10.1.3 On or before the 20th day following each calendar month or other fiscal period designated by Company, Franchisee shall submit to Company financial statements for the preceding calendar month or other fiscal period designated by Company, including a balance sheet and profit and loss statement, prepared in the form and manner prescribed by Company and in accordance with generally accepted accounting principles, which shall be certified by an officer of Franchisee to be accurate and complete.
10.1.4 Within 120 days following the end of each calendar year and/or other fiscal period designated by Company, Franchisee shall submit to Company an unaudited annual financial statement prepared in accordance with generally accepted accounting principles. Such statement shall be in the form reasonably required by Company, which shall be certified by an officer of Franchisee to be accurate and complete. Upon Company's request, Franchisee shall submit to Company a copy its signed federal, state and local income tax forms for the year(s) requested by Company. Upon Company's request, Franchisee shall also provide Company with copies of signed original sales and use tax forms filed with the applicable Governmental Authority. Company reserves the right to require further information concerning the Franchised Business as Company may from time to time reasonably request.
10.2 Inspections.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, franchisees must submit several financial reports to the company. On a monthly basis, specifically by the 20th day following each calendar month (or other fiscal period designated by Angry Chickz), franchisees are required to submit financial statements. These statements must include a balance sheet and a profit and loss statement. These documents should be prepared in a format that Angry Chickz prescribes and adhere to generally accepted accounting principles. An officer of the franchise must certify that these statements are accurate and complete.
In addition to the monthly reports, Angry Chickz franchisees must also submit an unaudited annual financial statement within 120 days following the end of each calendar year (or other fiscal period designated by Angry Chickz). This annual statement should also be prepared according to generally accepted accounting principles and be in a form reasonably required by Angry Chickz. Similar to the monthly statements, an officer of the franchise must certify the annual statement's accuracy and completeness.
Furthermore, Angry Chickz can request copies of the franchisee's signed federal, state, and local income tax forms for specific years, as well as copies of signed original sales and use tax forms filed with the relevant governmental authorities. Angry Chickz also reserves the right to request additional information concerning the franchised business as needed. Franchisees are also obligated to maintain an accounting and record-keeping system that aligns with generally accepted accounting principles and sound business practices, ensuring they can prepare the necessary financial statements, a general ledger, and other reports required by the franchise agreement and manuals.