What accounting standards must a Carvel franchisee comply with?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
8.3 Changes to the System and the Manuals. We may make additions to, deletions from, and modifications to the Manuals ("Supplements"), Standards, or System from time to time in any form or fashion, including (i) altering the Approved Products, accounting and technology systems, forms, policies, and procedures of the System; (ii) adding, modifying, or substituting the
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
The 2025 Carvel Franchise Disclosure Document states that Carvel franchisees must comply with the standards and manuals provided by the company, which may include alterations to accounting systems. Specifically, Carvel can modify the accounting systems that franchisees must use.
This means a Carvel franchisee is obligated to use the accounting methods and systems that Carvel dictates. Carvel can change these systems, and the franchisee must adopt those changes. This ensures uniformity across all Carvel franchises, allowing Carvel to monitor financial performance and maintain brand consistency.
Furthermore, franchisees are required to operate their franchised business in compliance with all applicable laws. This includes laws related to data security and privacy, such as the Payment Card Industry Data Security Standards (PCI-DSS) and the Fair and Accurate Credit Transactions Act (FACTA). Franchisees must also adhere to any privacy policies or data protection and breach response policies established by Carvel.
In summary, a Carvel franchisee's accounting practices are governed both by Carvel's internal standards and by external legal and regulatory requirements related to financial transactions and data protection.