What financial statements are included as Exhibit A in the Hydrodog Franchise Disclosure Document?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
13.2 Reports. You agree to furnish to us on such forms that we prescribe from time-to-time:
- (a) on the fifth (5th) day of each calendar month: a report on your HydroDog Business's Gross Sales during the immediately preceding calendar month with the Royalty payment;
- (b) within fifteen (15) days after the end of each calendar quarter: (i) a profit and loss statement for your HydroDog Business for the immediately preceding calendar month and year-to-date; and (ii) a balance sheet as of the end of such month;
- (c) within thirty (30) days after the end of your HydroDog Business's fiscal year: (i) annual profit and loss and source and use of funds statements; and (ii) a balance sheet for your HydroDog Business as of the end of such fiscal year; and
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
Based on the 2025 Hydrodog Franchise Disclosure Document, Exhibit A is not explicitly described within the provided excerpts. However, Item 13.2 specifies that franchisees must furnish Hydrodog with certain financial reports. These include monthly gross sales reports, quarterly profit and loss statements and balance sheets, and annual profit and loss and source and use of funds statements, along with a balance sheet for the business's fiscal year.
Additionally, the excerpts mention that a copy of Hydrodog's current form of Principal Owner's Guaranty is attached as Exhibit B to the Franchise Disclosure Document. This suggests that exhibits are used to provide franchisees with important documents and forms related to the franchise agreement.
To fully answer the question about the contents of Exhibit A, a prospective franchisee should review the complete 2025 Hydrodog Franchise Disclosure Document. If the information is not present, they should directly ask Hydrodog what specific financial statements are included as Exhibit A. Understanding the financial statements is crucial for assessing the financial health and stability of the franchisor.