Who bears the cost of the accountant's certification for Bath Tune Up franchisees?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
(l) On or before March 31 of each year, if requested in writing by Franchisee, Franchisor will deliver to Franchisee a summary statement of receipts and expenditures of the Fund relating to the preceding calendar year, certified to be correct by an officer of Franchisor.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2025 FDD)
According to Bath Tune Up's 2025 Franchise Disclosure Document, if a franchisee requests in writing, Bath Tune Up will deliver a summary statement of receipts and expenditures of the National Advertising Fund relating to the preceding calendar year, certified to be correct by an officer of Bath Tune Up. The FDD does not specify who bears the cost of this certification.
Because the FDD does not explicitly state who bears the cost of the accountant's certification, prospective franchisees should seek clarification from Bath Tune Up regarding this expense. Understanding who is responsible for covering these costs is essential for accurate financial planning and budgeting.
It is common practice in franchising for certain financial reporting and compliance costs to be borne by the franchisee, while others are covered by the franchisor. Therefore, it is important to determine whether the franchisee is responsible for covering the costs of the accountant's certification or if this is a cost covered by Bath Tune Up.