What periodic financial reports must a Crave Cookies franchisee provide?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
other financial statements, budgets, forecasts, reports, records, copies of contracts, documents related to litigation, tax returns, copies of governmental permits, and other documents and information related to the Business as specified in the Manual or that Crave Cookies Franchising may reasonably request.
- 10.3 Initial Investment Report. Within 120 days after opening for business, Franchisee shall submit to Crave Cookies Franchising a report detailing Franchisee's investment costs to develop and open the Business, with costs allocated to the categories described in Item 7 of Crave Cookies Franchising's Franchise Disclosure Document and with such other information as Crave Cookies Franchising may request.
- 10.4 Business Records. Franchisee shall keep complete and accurate books and records reflecting all expenditures and receipts of the Business, with supporting documents (including, but not limited to, payroll records, payroll tax returns, register receipts, production reports, sales invoices, bank statements, deposit receipts, cancelled checks and paid invoices) for at least three years. Franchisee shall keep such other business records as Crave Cookies Franchising may specify in the Manual or otherwise in writing.
- 10.5 Records Audit. Crave Cookies Franchising may examine and audit all books and records related to the Business, and supporting documentation, at any reasonable time. Crave Cookies Franchising may conduct the audit at the Location and/or require Franchisee to deliver copies of books, records and supporting documentation to a location designated by Crave Cookies Franchising.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, franchisees are required to maintain complete and accurate books and records that reflect all expenditures and receipts of the business. These records must be supported by documentation such as payroll records, payroll tax returns, register receipts, production reports, sales invoices, bank statements, deposit receipts, cancelled checks, and paid invoices, and must be kept for at least three years.
In addition to maintaining these records, Crave Cookies franchisees must also submit an initial investment report to Crave Cookies Franchising within 120 days after opening their business. This report should detail the franchisee's investment costs to develop and open the business, allocating costs to the categories described in Item 7 of the Franchise Disclosure Document, and include any other information Crave Cookies may request.
Crave Cookies Franchising retains the right to examine and audit all books and records related to the business, including supporting documentation, at any reasonable time. Furthermore, franchisees are obligated to provide any information Crave Cookies requests in order to prepare a financial performance representation for its Franchise Disclosure Document, as well as any other financial statements, budgets, forecasts, reports, records, copies of contracts, documents related to litigation, tax returns, copies of governmental permits, and other documents and information related to the business as specified in the Manual or that Crave Cookies Franchising may reasonably request.