How often must an Aplus franchisee deliver a Gross Sales Report to the Franchisor?

According to Aplus's 2024 Franchise Disclosure Document, franchisees are required to submit a Gross Sales Report to Aplus on a monthly basis. This report must be a signed and verified statement of Gross Sales, delivered electronically on the date prescribed by Aplus. The report's format must be approved or provided by Aplus in their manual.

In addition to the Gross Sales Report, Aplus franchisees must also supply a balance sheet and an income statement to Aplus on or before the fifteenth day of each month. These financial statements should reflect the preceding month's activities and the fiscal year-to-date performance. Franchisees are also obligated to provide annual financial statements within 90 days after the end of each calendar year, prepared in accordance with Generally Accepted Accounting Principles (GAAP). These statements may need to be reviewed or audited by a certified public accountant if required by Aplus.

The FDD specifies that failure to submit any required reports within three business days of the due date will result in a late reporting fee of $250 per report per incident, payable to Aplus upon demand. Franchisees must also provide copies of all state sales tax returns and any other records reasonably requested by Aplus or specified in the manual. All reports submitted must be certified as true and correct.

These requirements ensure that Aplus maintains consistent oversight of its franchisees' financial performance and compliance. Prospective franchisees should be aware of these reporting obligations and the associated penalties for non-compliance, as they represent an ongoing administrative responsibility and potential cost.