What kind of reports must a Bang Cookies franchisee submit to the franchisor each week?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
In additional to the reporting obligations otherwise set forth in this Agreement, Franchisee agrees to the following additional reporting obligations that shall be compile, organize, and contain all of the data and information requested by Franchisor, in Franchisors Reasonable Business Judgment, and as may be modified by Franchisor from time to time:
- (1) Royalty and Activity Reports on the Due Date each week, Franchisee shall report, transmit, confirm, and/or otherwise make available to Franchisor, the Royalty and Activity Report as designated by Franchisor and in accordance with the terms of this Agreement.
- (2) Monthly Financial Statements and Reports within 30 days of the end of each calendar month Franchisee shall submit to Franchisor monthly financial statements and other reports related to the operations of the Franchised business including, but not limited to, income statement, statement of cash flows, balance sheet, and other operational reports designated by Franchisor. At all times Franchisee represents that the financial statements, information, and reports submitted to and/or made available to Franchisor shall be and remain true and accurate. The financial statements must be prepared in accordance with GAAP and, additionally, shall reconcile Gross Sales per GAAP to Gross Sales per this Agreement;
- (3) Annual Financial Statements and Reports within 60 days of the end of each calendar year, Franchisee shall submit to Franchisor Franchisee's annual financial statements and other reports related to the operations of the Franchised business including, but not limited to, income statement, statement of cash flows, balance sheet, and other operational reports designated by Franchisor. The financial statements must be prepared by a licensed CPA and in accordance with GAAP and, additionally, shall reconcile Gross Sales per GAAP to Gross Sales per this Agreement;
- (4) Tax Returns Franchisee shall provide to Franchisor, Franchisee's annual federal, state and local tax returns as same are prepared and submitted to the applicable federal, state and local entities. Said tax returns shall be submitted to Franchisor within 45 days of Franchisee or Franchisee's agent filing such returns with the applicable federal, state and local entities; and
- (5) Other Reports Franchisee shall timely submit to Franchisor, all other forms, reports, records, information, and data as Franchisor may reasonably request in writing or as otherwise set forth in the operations manuals.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies' 2024 Franchise Disclosure Document, franchisees must submit a Royalty and Activity Report to the franchisor each week on the designated Due Date. This report must be in the format designated by Bang Cookies and in accordance with the terms of the Franchise Agreement. The report should compile, organize, and contain all data and information requested by Bang Cookies, which Bang Cookies may modify from time to time based on their reasonable business judgment.
In addition to the weekly report, Bang Cookies franchisees also have other reporting obligations. Franchisees must submit monthly financial statements and reports within 30 days of the end of each calendar month. These monthly reports include an income statement, statement of cash flows, balance sheet, and other operational reports designated by Bang Cookies. Franchisees must also submit annual financial statements and reports within 60 days of the end of each calendar year, prepared by a licensed CPA in accordance with GAAP.
Furthermore, franchisees are required to provide their annual federal, state, and local tax returns to Bang Cookies within 45 days of filing them with the applicable government entities. Franchisees must also submit any other forms, reports, records, information, and data that Bang Cookies may reasonably request in writing or as outlined in the operations manuals. Maintaining accurate and timely records and submitting them as required is a crucial aspect of operating a Bang Cookies franchise.