What is the purpose of the information that an Angry Chickz franchisee must submit to the company?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall, in the form and manner specified by Company, submit to Company statistical control forms and such other financial, operational and statistical information as Company may require from time to time (collectively, the "Information") including to: (i) assist Franchisee in the operation of the Franchised Business in accordance with the System; (ii) allow Company to monitor Franchisee's Gross Sales, purchases, costs and expenses; (iii) enable Company to develop chain-wide statistics which may improve bulk purchasing; (iv) assist Company in the development of new Authorized Products or the retirement or removal of existing required or recommended products and/or services offered at the Franchised Business; and (v) generally improve chain-wide understanding of the System.
Without limiting the generality of the foregoing:
10.1.1 Franchisee shall also submit condensed reports of daily Gross Sales to Company each Accounting Period in accordance with the Standards.
10.1.2 On or before the 20th day following each calendar month or other fiscal period designated by Company, Franchisee shall submit a Gross Sales report prescribed by Company, which shall be certified 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.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, the information that a franchisee must submit to the company is used for several purposes. Franchisees must submit statistical control forms and other financial, operational, and statistical data as required by Angry Chickz. This information is used to assist the franchisee in operating their business according to the Angry Chickz system. It also allows Angry Chickz to monitor the franchisee's gross sales, purchases, costs, and expenses.
Angry Chickz uses the submitted data to develop chain-wide statistics, which can improve bulk purchasing power for all franchisees. The information also helps Angry Chickz in the development of new authorized products or the modification/removal of existing products and services. Ultimately, the goal is to improve the overall understanding and performance of the Angry Chickz system across all franchise locations.
Specifically, franchisees must submit condensed reports of daily Gross Sales each accounting period. Additionally, they must submit a Gross Sales report each month, certified as accurate, along with any other financial information requested by Angry Chickz, such as cost of goods sold, labor costs, customer information, sales by day-part, and sales by customer type. Franchisees are also required to submit monthly financial statements, including a balance sheet and profit and loss statement, and an annual unaudited financial statement, all prepared according to generally accepted accounting principles.
Angry Chickz also reserves the right to request copies of signed federal, state, and local income tax forms, as well as sales and use tax forms. The company can request further information concerning the franchised business as it deems reasonably necessary. This comprehensive reporting ensures that Angry Chickz has the data needed to support its franchisees and maintain the integrity and consistency of the brand.