What reports must a Body Brain Center franchisee provide to the franchisor?
Body_Brain_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
ces to you.
- (2) "Program Sales" means all gross sums that you receive from all services sold in or at your Business (including memberships and referral fees). "Program Sales" do not include (i) revenues from product sales, (ii) amounts refunded to customers or (iii) sales and use taxes. Any amounts that are included in Program Sales for 1 reporting period but are subsequently refunded will be deducted from your Program Sales for the next reporting period. You must provide us with reports of your Program Sales as well as your product sales. You must record all sales information on the same day that the sale takes place.
- (3) We may, but need not, offer periodic additional training programs. These programs are optional, but if you choose to attend, we may charge you the additional training fee. Upon your request, we may provide additional training that you request. We are not required to provide this training, but if we agree to do so, you must pay us the additional training fee. You are also responsible for all food, lodging and travel costs associated with additional training. If we travel to you to provide the training, you must reimburse us for all food, lodging and travel expenses that we incur.
- (4) You will pay us the $10,000 initial training fee disclosed in Item 5 for each person who attends our
initial training program. If you add a new owner or hire a manager after opening, you must pay us the $10,000 initial training fee to train that person.
Source: Item 6 — OTHER FEES (FDD pages 11–14)
What This Means (2025 FDD)
According to Body Brain Center's 2025 Franchise Disclosure Document, franchisees are required to provide reports of their Program Sales as well as their product sales to the franchisor. Program Sales include all gross sums received from services sold at the business, including memberships and referral fees, but exclude revenues from product sales, amounts refunded to customers, and sales and use taxes. Any amounts included in Program Sales for one reporting period that are subsequently refunded will be deducted from Program Sales in the next reporting period.
Franchisees must also record all sales information on the same day the sale takes place. Furthermore, to avoid late fees, franchisees must provide these sales reports on a timely basis.
Failure to furnish required information or reports to Body Brain Center in a timely manner or to record sales properly may result in an audit. If an audit reveals that the franchisee has understated any amount due to Body Brain Center by at least 3% for any monthly period, the franchisee will be responsible for covering the actual cost of the audit plus an additional $2,500, as well as travel and lodging expenses for the audit team.