What information must be included in the Gross Sales Report submitted to Kidokinetics?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
eping service that Franchisor chooses.
- 11.2.2. Franchisee must maintain, for at least five fiscal years from their preparation, complete financial records for the operation of the Kidokinetics Business in accordance with the then current Internal Revenue Service Publication and must provide Franchisor, at Franchisor's request, with: (i) a weekly Sales Report signed by Franchisee and in the form Franchisor specifies that contains the sales information pertaining to the preceding week including, without limitation, a summary of all monies received during the relevant period, any other additional information which Franchisor deems necessary to properly evaluate Franchisee's progress; (ii) a quarterly income statement and profit and loss statement, reflective of the three individual months in the quarter, in a format specified by Franchisor, including a standard chart of accounts, within 20 days after the end of each quarter; (iii) annual financial reports and operating statements in the form Franchisor specifies within 50 days after the close of each of Franchisee's fiscal years; (iv) state and local sales tax returns or reports and federal, state and local income tax returns for each year in which Franchisee's Kidokinetics Business is operated, within 30 days after their timely completion; and (v) such other reports as Franchisor may from time to time require, in the form and at the time Franchisor prescribes. Franchisee's fiscal year must be on a calendar year basis. To assist Franchisee in recording and keeping accurate and detailed financial records for reports and tax returns, Franchisor, at Franchisor's discretion, may specify the form in which the business records are to be maintained and provide a uniform set of business records for Franchisee to use. Franchisor will have full access to all of Franchisee's data, system, and related information by means of direct access, whether in person, or by telephone/modem installed and maintained at Franchisee's sole expense.
- 11.2.3.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics' 2024 Franchise Disclosure Document, the specific form and content of the Gross Sales Report are determined by Kidokinetics and may change over time. Franchisees are required to submit a weekly Sales Report, signed, that contains sales information from the preceding week, including a summary of all monies received during that period, and any other additional information Kidokinetics deems necessary to properly evaluate the franchisee's progress.
Kidokinetics may require franchisees to submit the Gross Sales Report electronically through management software such as Kidolink or any other software that Kidokinetics requires. Franchisees must also maintain complete and accurate books and records of their transactions and business operations, utilizing the accounting procedures specified by Kidokinetics.
In addition to the weekly sales report, franchisees must provide Kidokinetics with quarterly income statements and profit and loss statements within 20 days after the end of each quarter, as well as annual financial reports and operating statements within 50 days after the close of each fiscal year. Franchisees are also required to submit state and local sales tax returns or reports and federal, state and local income tax returns within 30 days after their timely completion. The franchisee's fiscal year must be on a calendar year basis.