What financial reports are Card My Yard franchisees required to submit periodically?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
petition covenant set forth in Exhibit B or eliminate such noncompetition covenant altogether for any person that is required to execute such agreement.
XII. BOOKS AND RECORDS
- A. Maintenance of Books and Records. You must maintain during the term of this Agreement, in accordance with generally accepted accounting principles and in the form and manner we prescribe from time to time in the Manuals, full, complete and accurate books, records and accounts of the Card My Yard business, including, but not limited to, sales slips, coupons, purchase orders, payroll records, check stubs, bank statements, sales tax records and returns, cash receipts and disbursements, journals and ledgers. You agree to preserve such books and records for at least five (5) years from the date of preparation.
- B. Reporting. In addition to other reports required by this Agreement, you agree to submit to us, in the form we prescribe from time to time and at your expense:
- (1) Periodic Order Reports as requested by us from time to time and, at our request, monthly income statements (which may be unaudited), signed by your General Manager or comparable officer attesting that it is true, complete and correct.
- (2) Within five (5) days after our written request, copies of your federal income tax returns (including any extension requests) and within five (5) days after the end of each calendar quarter, copies of your state sales tax returns. If the Card My Yard business is in a state which requires you to pay state income tax, you must also
provide a copy of your state income tax return (including any extension requests) not later than five (5) days after our written request.
- (3) At the times reasonably required by us, such other forms, reports, records, information and data as we may reasonably designate.
- C. Audits.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, franchisees are required to submit several financial reports. These include periodic order reports as requested by Card My Yard, and at their request, monthly income statements (which may be unaudited). These income statements must be signed by the franchisee's General Manager or comparable officer, attesting that the information is true, complete, and correct.
In addition to these regular reports, franchisees must also provide copies of their federal income tax returns within five days of a written request from Card My Yard. Similarly, copies of state sales tax returns are due within five days after the end of each calendar quarter. If the Card My Yard business operates in a state that requires state income tax, franchisees must also provide copies of their state income tax returns within five days of a written request.
Card My Yard also retains the right to review, audit, examine, and copy a franchisee's books and records related to the Card My Yard business at any reasonable time. Franchisees are also required to maintain full, complete, and accurate books, records, and accounts of the Card My Yard business, including sales slips, coupons, purchase orders, payroll records, check stubs, bank statements, sales tax records and returns, cash receipts and disbursements, journals, and ledgers. These records must be maintained for at least five years from the date of preparation.