When will Carls Jr. furnish the statement of monies collected and costs incurred by each fund to a Carls Jr. franchisee?

According to the 2025 Carls Jr. Franchise Disclosure Document, a statement of monies collected and costs incurred by each fund (Production Fund and Media Fund) will be prepared annually. Carls Jr. will furnish this statement to a franchisee within a reasonable period of time following a written request from the franchisee.

This means that Carls Jr. franchisees do not automatically receive this statement; they must request it in writing to receive it. The FDD does not define what constitutes a "reasonable period of time," so the actual delivery timeframe may vary. It is important to note that while Carls Jr. is responsible for providing this statement, the franchisee must take the initiative to ask for it.

This policy is fairly standard in the franchise industry, where franchisors often maintain funds for advertising and marketing. Franchisees typically contribute to these funds, and they have a vested interest in understanding how the money is being spent. The requirement for a written request ensures that Carls Jr. only provides the statement to those franchisees who are actively interested in reviewing it, potentially reducing administrative overhead.

Prospective franchisees should consider this when evaluating the Carls Jr. franchise opportunity. It would be prudent to inquire with existing franchisees about their experiences in obtaining these statements and the typical timeframe for receiving them after making a request. Understanding the responsiveness and transparency of Carls Jr. in providing this financial information can be a valuable factor in making an informed investment decision.