When is the deadline for Best Brains franchisees to submit the electronic or other report of Gross Sales?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Reports. You shall furnish to us the following reports among others:
- (i) On the 10th of each month, an electronic or other report (as we designate) of the Gross Sales of the Franchised Business for the period of the 11th of the previous month to the 10th of the current month;
- (ii) On the 10th of each month, a copy of your bank statement for the previous month
- (iii) On the 10th of each month, a copy of your payment report from your payment processing service (currently CSG Forte) for the period of the 11th of the previous month to the 10th of the current month
- (iv) On the 10th of each month, a profit and loss statement for the preceding calendar month and a year-to-date profit and loss statement and balance sheet; and
- (v) within seventy-five days after the end of each calendar year, a calendar year end balance sheet and an annual profit and loss statement for the calendar year reflecting all year end adjustments.
You must verify and sign all reports submitted to us.
- Failure to Send Reports. If you fail to report your Gross Sales on a timely basis, we may estimate your Gross Sales; and then deposit any unpaid Royalty Fee, advertising contribution or other amount due by use of the electronic funds transfer system.
Source: Item 23 — RECEIPTS (FDD pages 42–190)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, franchisees must submit an electronic or other designated report of Gross Sales by the 10th of each month. This report must cover the period from the 11th of the previous month to the 10th of the current month.
In practical terms, this means a Best Brains franchisee needs to maintain accurate records of their gross sales on a monthly basis and ensure that the report is submitted to Best Brains no later than the 10th of each month. The FDD specifies that the method of reporting can be electronic or another format designated by Best Brains.
Failure to submit the Gross Sales report on time can have consequences. Best Brains reserves the right to estimate the franchisee's Gross Sales if the report is not submitted in a timely manner. They may then deposit any unpaid Royalty Fees, advertising contributions, or other amounts due using an electronic funds transfer system. This underscores the importance of adhering to the reporting deadlines to avoid potential estimation errors and unscheduled fund transfers.
In addition to the Gross Sales report, Best Brains franchisees are also required to submit other financial documents on the 10th of each month, including a copy of their bank statement for the previous month, a copy of their payment report from their payment processing service, and a profit and loss statement for the preceding calendar month, along with a year-to-date profit and loss statement and balance sheet. Franchisees must also submit a calendar year-end balance sheet and an annual profit and loss statement within seventy-five days after the end of each calendar year.