What is the deadline for submitting the unaudited financial statement for the preceding fiscal year to BNC for a Benihana franchise?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
- (b) within ninety (90) days following the end of each fiscal year during the Franchise Term, an unaudited financial statement for the preceding fiscal year with such detail and in a format as specified by BNC, together with a certificate executed by Franchisee certifying that such financial statement is true and accurate;
Source: Item 23 — Receipts (FDD pages 74–576)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, franchisees must submit an unaudited financial statement for the preceding fiscal year to BNC within ninety (90) days following the end of each fiscal year during the Franchise Term. The financial statement must include the level of detail and format specified by Benihana.
Along with the financial statement, the franchisee must also provide a certificate confirming that the financial statement is true and accurate. This certificate must be executed by the franchisee.
This requirement ensures that Benihana has access to timely and accurate financial information from its franchisees, allowing them to monitor the financial health of the franchise system and ensure compliance with the franchise agreement. Franchisees should be aware of this reporting deadline and ensure they have the necessary systems in place to gather and submit the required financial information in a timely manner.