How must an Engineering For Kids franchisee report Gross Sales?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.2.6. You underreport Gross Sales by more than 2% on three occasions or more in any eighteen-month period or by 5% or more for any period of one month or greater.
You fail to use the software that we require for an Engineering For Kids Business or you attempt to (or actually do or cause others to) reverse engineer, decompile, remove or defeat the security features, or otherwise uncover the proprietary code for our software.
You agree to provide us with the reports that we may reasonably request from the Data so collected and maintained.
You agree that you will download (and/or provide us with access to) on a daily basis, or in such other intervals that we may require, all information and materials that we may require in connection with your operation of the Franchised Business, and that you will present such information and materials in the manner we may prescribe.
In no way limiting the above, upon termination, expiration, and/or transfer of this Agreement and/or the Franchised Business, you agree to provide us with all data (in the digital machine-readable format that we specify, and/or printed copies, and/or originals) promptly upon our request.
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to the 2025 Engineering For Kids FDD, franchisees must use the required software for their business. Franchisees must also download or provide access to all information and materials related to the operation of the franchised business at intervals required by Engineering For Kids, presenting the information as prescribed by the company.
Engineering For Kids has the right to specify the data and other information that franchisees must collect and maintain on their computer systems. Franchisees must provide reports from the collected data as reasonably requested by Engineering For Kids. The company may use this information, data, and reports in any manner, including providing financial and operating reports to other franchisees.
Failure to use the required software or attempting to reverse engineer or compromise its security features constitutes a breach of the franchise agreement. Additionally, underreporting gross sales by more than 2% on three or more occasions in any eighteen-month period, or by 5% or more for any period of one month or greater, can result in a termination of the agreement. Upon termination, expiration, or transfer of the franchise agreement, franchisees must provide all data in the specified digital format, printed copies, or originals upon request.