When must a Basecamp Fitness franchisee provide monthly sales information from their Basecamp Studio?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
u or in any action in which you are named as a party, provided that we will have the right to participate in and, to the extent we deem necessary, to control any litigation or proceeding which might result in liability of or expense to you subject to such indemnification.
12. FINANCIAL STATEMENTS AND AUDIT RIGHTS
- A. Financial Information, Reports, Inspections and Audits. Following the opening of your Basecamp Studio, by the 10th of each month, you will provide us with monthly sales information from the Basecamp Studio. In addition, within thirty (30) days following your fiscal year end, you will provide us with copies of your financial statements (reviewed by your accountant), including an income statement for the fiscal year just ended and a balance sheet, cash flow statement, and any other document accompanying your financial statements, as of the end of such fiscal year, which financial statements will have been prepared in accordance with generally accepted accounting principles applied on a consistent basis. We will also have the right to request other financial statements, reports and information from you during the year, and you will deliver those financial statements, reports and information to us when, and in the form and manner, we require. Also, on or before April 15 of each year, you must provide us with a copy of your federal tax return and the federal tax retur
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, franchisees must provide monthly sales information from their Basecamp Studio by the 10th of each month following the studio's opening. This requirement ensures that Basecamp Fitness can monitor the financial performance of each franchise location and calculate royalties or other fees accurately.
Failure to provide this information on time results in a late reporting fee of $100 per violation. This fee does not excuse the franchisee from their reporting obligation, and continued failure to report constitutes a material default under the Franchise Agreement. Basecamp Fitness also reserves the right to access the studio's accounting and financial systems to determine gross revenue and fees due.
In addition to monthly sales data, Basecamp Fitness franchisees must also provide annual financial statements reviewed by an accountant within 30 days following the fiscal year end. These statements include an income statement, balance sheet, cash flow statement, and any other accompanying documents. Franchisees are also required to submit copies of their federal tax returns and the federal tax returns of their owners by April 15th each year. These requirements enable Basecamp Fitness to maintain a comprehensive understanding of the financial health and performance of its franchise network.