What financial reports are Hardees franchisees required to submit monthly, and within what timeframe?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall, at Franchisee's expense, submit to HR, in the form and manner (which may be through an online portal or website) prescribed by HR: (i) a monthly profit and loss statement and balance sheet for the Franchised Business (both of which may be unaudited) within 30 days after the end of each month, and (ii) a quarterly profit and loss statement and balance sheet for Franchisee (both of which may be unaudited) within 30 days after the end of each fiscal quarter (as defined by HR from time to time) during each fiscal year (as defined by HR from time to time). HR shall have the right, to be exercised in its sole discretion, to require that Franchisee provide HR profit and loss statements and balance sheets at other times as requested by HR. Each statement and balance sheet shall be signed by Franchisee or by Franchisee's treasurer or chief financial officer attesting that it is true, correct and complete and uses accounting principles applied on a consistent basis which accurately and completely reflect the financial condition of Franchisee.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, franchisees are required to submit specific financial reports to Hardees on a periodic basis. Each Hardees franchisee must submit a monthly profit and loss statement and balance sheet for their franchised business. These reports, which may be unaudited, are due within 30 days after the end of each month.
In addition to monthly reports, Hardees also requires franchisees to submit a quarterly profit and loss statement and balance sheet for the franchisee's overall business operations. Similar to the monthly reports, these quarterly reports may be unaudited and are also due within 30 days after the end of each fiscal quarter, as defined by Hardees.
Hardees retains the right to request profit and loss statements and balance sheets at other times, at its discretion. All submitted statements and balance sheets must be signed by the franchisee, treasurer, or chief financial officer, attesting to their accuracy, completeness, and consistent application of accounting principles. This ensures that Hardees receives reliable and standardized financial data from all its franchise locations.