Does this table show the gross or net receipts for Cinch I.T.?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
You may also deduct from the Franchised Business' Gross Sales the amount of any documented refunds, charge-backs, credits and allowances You pay in good faith to clients.
All barter and/or exchange transactions pursuant to which the Franchised Business furnishes services and/or products in exchange for goods or services to be provided to You or the Franchised Business by a vendor, supplier or client shall, for the purpose of determining Gross Sales, be valued at the full value of the goods and/or services so provided to You or the Franchised Business.
Gross Sales shall also include all insurance proceeds received by You for loss of business due to a casualty to or similar event affecting the operation of the Franchised Business.
- (k) You are required to submit reports, signed by You, in a form to be prescribed by Us.
Such reports shall reflect the sales data which occurred during the preceding month, along with any additional information that We may deem reasonably necessary.
These reports shall be electronically transmitted to Us so that they are received by Us no later than the fourteenth (14th) day of the next succeeding month.
Pursuant to Section 22 of this Agreement, You are also required to provide Us with annual reports of Gross Sales from each Franchised Business' operation within thirty (30) days of the end of Your fiscal or other operating year.
We reserve the right to require other additional reports, as are or may be more particularly set forth in Our Operations Manual.
(l) You must reimburse Us for any taxes that We must pay to any state taxing authority on account of either Your operation of the Franchised Business or payments that You make to Us.
CINCH I.T.
Franchise Disclosure Document April 30, 2024 11 (m) Notwithstanding any designation by You, We shall have the sole discretion to apply any
payments by You to any past due amount You owe Us for Royalty Fees, Marketing Fund Fees, purchases from Us and/or any of Our subsidiaries or affiliates, interest or any other indebtedness.
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
According to the 2024 Cinch I.T. Franchise Disclosure Document, the reports franchisees are required to submit should reflect gross sales data. Franchisees may deduct documented refunds, charge-backs, credits, and allowances paid in good faith to clients from their gross sales. Barter or exchange transactions are valued at the full value of the goods or services provided to the franchisee. Gross sales also include any insurance proceeds received for loss of business due to a casualty or similar event.
Cinch I.T. requires franchisees to submit monthly sales reports electronically, no later than the fourteenth day of the following month. These reports must include sales data from the preceding month, along with any additional information Cinch I.T. deems necessary. Additionally, franchisees must provide annual reports of gross sales from each franchised business operation within thirty days of the end of their fiscal year.
Cinch I.T. retains the right to request additional reports as detailed in their Operations Manual. Franchisees are also responsible for reimbursing Cinch I.T. for any taxes the company must pay to any state taxing authority due to the franchisee's operation or payments made to Cinch I.T. Furthermore, Cinch I.T. has the sole discretion to apply any payments from the franchisee to past due amounts owed for royalty fees, marketing fund fees, purchases, interest, or any other indebtedness, regardless of any designation made by the franchisee.