For how long must a Craters & Freighters franchisee preserve business records?

According to Craters & Freighters's 2025 Franchise Disclosure Document, a franchisee must keep and preserve full, complete, and accurate books, records, reports, and accounts relating to the Franchised Business for a period of not less than thirty-six (36) months after the end of each year.

This requirement ensures that Craters & Freighters franchisees maintain organized and accessible financial records for at least three years. This is a standard practice in franchising, allowing both the franchisee and franchisor to review financial performance, ensure compliance with the franchise agreement, and address any potential discrepancies or audits.

Maintaining these records is crucial for several reasons. It allows Craters & Freighters to audit the franchisee's business to ensure compliance with the franchise agreement and proper reporting of royalties. Additionally, these records are essential for the franchisee to manage their business effectively, track financial performance, and prepare tax filings. Failure to maintain these records could result in penalties or other consequences as outlined in the franchise agreement.