What is the required action for a Beehive Homes franchisee regarding the Monthly Revenues Report?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
f the Gross Revenues. The Franchise Royalty shall be paid monthly on or before the 10th day of each calendar month based upon the Gross Revenues of the preceding calendar month. The Franchise Royalty will commence on the earlier of (i) the first day of the first full calendar month following the date on which the Home reaches a 50% occupancy; or (ii) the first day of the sixth full calendar month following the date of opening of the Home. For purposes of determining the Franchise Royalty, "Gross Revenues" is defined to be the gross receipts of every kind and nature whatsoever received by Franchisee directly or indirectly in connection with the operation of the franchised business, the Home and/or providing of services, excepting only the amount of sales or use taxes levied upon the sale of goods or services by a governmental taxing authority and actually paid to said taxing authority.
- 4.4. Determination and Method of Payment of Franchise Royalty. The calculation and payment of the Franchise Royalty specified in Section 4.3 above shall be made as follows:
- (a) On or before the 10th day of each calendar month Franchisee shall provide to Franchisor a report the financial activity of the Home for the immediately preceding calendar month to Franchisor. The report shall show Gross Revenues, all monies received or accrued, all sales or other services performed, and such other information concerning the financial affairs of Franchisee as Franchisor may reasonably require. For purposes of this Agreement, such information shall be referred to as the "Monthly Revenues Report."
- (b) The Franchise Royalty shall be due and payable on the same date that the corresponding Monthly Revenues Report is due, and shall be paid concurrently with the submission of the corresponding Monthly Revenues Report.
- (c) If the Franchisee fails to deliver the required Monthly Revenues Reports to Franchisor on or before the 10th day of each month, a late charge of $100.00 shall be assessed for each Monthly Revenues Report which is not timely filed.
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, franchisees are required to provide a Monthly Revenues Report to Beehive Homes by the 10th day of each calendar month. This report must detail the financial activity of the Beehive Homes location for the preceding month, including gross revenues, all monies received or accrued, all sales or other services performed, and any other financial information that Beehive Homes may reasonably require. The Franchise Royalty payment is due on the same date as the Monthly Revenues Report, and both must be submitted concurrently.
Failure to submit the Monthly Revenues Report on time will result in a late charge of $100.00 for each late report. Additionally, if a franchisee fails to pay any Franchise Royalty when due, they will be assessed a one-time late charge equal to the lesser of ten percent (10%) of the Franchise Royalty due or the maximum late charge assessable under the laws of the state in which the Home is located.
Beehive Homes defines "Gross Revenues" as the total gross receipts of any kind received by the franchisee, either directly or indirectly, in connection with the operation of the franchised business, the Home, and/or the provision of services. The only exception to this definition is the amount of sales or use taxes levied upon the sale of goods or services by a governmental taxing authority and actually paid to that authority. The Monthly Revenues Report is defined in Section 4.4 of the agreement.