When must a Circle K franchisee submit monthly profit and loss statements to the franchisor?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, Franchisee is required to provide Franchisor with Franchisee's monthly profit and loss statements in a format prescribed by Franchisor.
Such profit and loss statements (which shall include both the relevant month and year-to-date periods) must be submitted to Franchisor within 45 days of each month-end.
Source: Item 22 — CONTRACTS (FDD page 100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, franchisees are required to submit monthly profit and loss statements to Circle K. These statements, which must include data for both the relevant month and year-to-date periods, must be in a format prescribed by Circle K.
The profit and loss statements must be submitted to Circle K within 45 days of each month-end. This requirement ensures that Circle K receives timely financial information from its franchisees, allowing them to monitor the financial performance of individual stores and the overall franchise system.
This reporting frequency is fairly standard in the franchise industry, as franchisors typically require regular financial updates from franchisees to assess their business's health and ensure compliance with franchise agreement terms. Franchisees should be prepared to maintain accurate and organized financial records to meet this reporting obligation.