What information must be included in the Gross Sales Report for a Kidokinetics franchise?

According to Kidokinetics's 2024 Franchise Disclosure Document, the Gross Sales Report will be in a form and contain information that Kidokinetics may prescribe from time to time. Kidokinetics may require franchisees to submit the Gross Sales Report by electronic transfer of data using management software, such as Kidolink, or other software that Kidokinetics may require.

Gross Sales are defined as revenues from all goods, services, and products sold at, from, or through the Kidokinetics Business, including all other income related to the Kidokinetics Business, whether from cash or credit. This includes the full redemption value of any gift card, gift certificate, or coupon sold for use in the Kidokinetics Business. Gross Sales also include proceeds from any business interruption insurance.

Gross Sales do not include (i) any sales tax or other taxes collected from customers for, and turned over to, the governmental authority imposing the tax, (ii) properly documented refunds to customers, or (iii) properly documented employee discounts (limited to 3% of Gross Sales). There are no deductions, discounts, refunds, or allowances from the definition of Gross Sales except as expressly set forth in the preceding sentence. Facility fees incurred by the Franchised Business and revenue shares paid to schools or third parties do not reduce the calculation of Gross Sales.