What methods of payment are accepted at a Bang Cookies franchise?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
"Gift Cards" refers to and means any and all gift cards, vouchers, receipts, cards and other evidence of a pre-paid purchase transaction or credit that Franchisor authorizes concerning a Bang Cookies Shop.
"Gross Sales" refers to and means the total dollar sales from all business and customers of the Franchised Business and includes the total gross amount of revenues and sales from whatever source derived, whether in form of cash, credit, agreements to pay or other consideration including the actual retail value of any goods or services traded, borrowed, or received by Franchisee in exchange for any form of non-money consideration (whether or not payment is received at the time of the sale), from or derived by Franchisee or any other person or Corporate Entity from business conducted or which started in, on, from or through the Franchised Business, Franchisee's Shop Location, and/or Franchisee's Shop Facility whether such business is/was conducted in compliance with or in violation of the terms of this Agreement. Supplementing the foregoing, Gross Sales further includes the total gross amount of revenues and sales from whatever source derived from and/or derived by Franchisee (including any person and/or Corporate Entity acting on behalf of Franchisee) from business conducted within and/or outside the Designated Territory that is related to the Franchised Business and/or a Competitive Business located and/or operated at Franchisee's Shop Location, at Franchisee's Shop Facility, within the Designated Territory, outside the Designated Territory, and/or otherwise (the foregoing does not constitute approval for Franchisee's operation of a Competitive Business and/or the operation of a Bang Cookies Shop outside of the Designated Territory). Gross Sales do not include (a) sales taxes that Franchisee collects and remits to the proper taxing authority, and (b) authorized promotional discounts that Franchisee provides to Shop customers.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
Based on the 2024 Bang Cookies Franchise Disclosure Document, the document defines "Gross Sales" as encompassing total dollar sales from all business and customers, derived from any source, including cash, credit, agreements to pay, or other forms of consideration. This includes the retail value of goods or services that the Bang Cookies franchisee trades, borrows, or receives in exchange for non-monetary consideration, regardless of when payment is received.
This definition indicates that Bang Cookies franchises are expected to accept a variety of payment methods beyond just cash. The inclusion of "credit" and "agreements to pay" suggests that franchisees should be prepared to process credit card transactions and possibly other deferred payment arrangements. The mention of "other consideration" broadens the scope to include potential barter or trade scenarios, although the specific types of non-monetary exchanges that are acceptable would likely be governed by Bang Cookies's operational standards and require franchisor approval.
Furthermore, the FDD specifies that "Gift Cards" refer to any gift cards, vouchers, receipts, cards, or other evidence of a pre-paid purchase transaction or credit authorized by Bang Cookies. This implies that franchisees must accept Bang Cookies-approved gift cards as a form of payment. However, the FDD does not explicitly list all acceptable payment methods, so prospective franchisees should confirm the complete list of approved payment options with Bang Cookies during their due diligence.
It is important to note that while franchisees must accept these various forms of payment, they are not allowed to reduce their reported Gross Sales, and therefore their royalty obligations, except for sales taxes collected and remitted and authorized promotional discounts. This ensures that Bang Cookies receives its due royalties regardless of the payment method used by customers.