Are there any exceptions to the weekly 'Accounting Period' for Deer Solution franchisees?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
"Accounting Period" refers to and means the period of time selected and determined by Franchisor for the required measurement and reporting of financial information and payment of financial obligations by Franchisee. The applicable measurement period will be determined by Franchisor from time to time with respect to Franchisee's obligations to report financial information and data to Franchisor and Franchisee's payment of all fees, including, and other obligations under this Agreement. The respective "Accounting Period" shall be those Franchisor designated times, whether, instantly on a recurring basis upon receipt of Gross Sales, weekly, monthly, or otherwise, as designated by Franchisor, with all such Accounting Periods automatically commencing on the earlier of the (a) Scheduled Business Commencement Date, or (b) the Actual Business Commencement Date of the Franchised Business and, continuing, throughout the Term of this Agreement. Unless otherwise designated by Franchisor at any time, unless otherwise specified in this Agreement, the Accounting Period shall be a weekly period for each and every week throughout the Term of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, the standard accounting period is weekly, but the franchisor retains the right to designate alternative accounting periods. The "Accounting Period" is defined as the timeframe Deer Solution uses to measure and report financial information and for franchisees to pay their financial obligations. While the accounting period is typically weekly, Deer Solution has the authority to change this to another frequency, such as instantly upon receipt of Gross Sales, monthly, or another designated time frame.
This means that while franchisees can generally expect to report and pay fees on a weekly basis, Deer Solution can modify this requirement. The accounting period commences on the earlier of the Scheduled Business Commencement Date or the Actual Business Commencement Date and continues throughout the term of the agreement.
For a prospective Deer Solution franchisee, this indicates a degree of flexibility, or potential uncertainty, in the financial reporting and payment schedule. Franchisees should be prepared to adapt to different reporting frequencies if required by Deer Solution. It would be prudent for a potential franchisee to discuss with Deer Solution the circumstances under which the accounting period might deviate from the standard weekly period and how much notice would be given for such changes.