On what page of the Pearce Bespoke FDD can I find information about Financial Statements?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
12. SALES REPORTS, FINANCIAL STATEMENTS AND AUDIT RIGHTS
A. Sales Reports.
Franchisee will maintain an accurate written record of daily Gross Sales and will deliver to Franchisor a signed and verified statement of the weekly Gross Sales of Franchisee's business using such forms and methods as Franchisor may require in writing. The weekly statement of Gross Sales must be provided to Franchisor on or before Wednesday of each week for the preceding week. Franchisor reserves the right to modify or substitute the required forms and methods and impose additional recordkeeping procedures.
B. Financial Statements.
Franchisee will, at its expense, provide Franchisor with quarterly and annual financial statements and such other financial reports as Franchisor specifies using the forms and chart of accounts Franchisor requires. All financial information provided to Franchisor under this Section must be presented in the form Franchisor periodically requires in writing. Franchisee will deliver the quarterly financial information to Franchisor by the thirtieth (30th) day of the month following the end of the preceding quarter. The annual financial statement must be provided on or before March 1 of each year for the preceding calendar year. Franchisee acknowledges and agrees that the financial data of Franchisee's Pearce Bespoke Franchise (i) is owned by Franchisor, (ii) is Franchisor's Proprietary Information, (iii) may be published in franchise disclosure document(s) issued by Franchisor following the Effective Date hereof, and (iv) may be shared with other franchisees in the Business System.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, information regarding financial statements can be found on page 99. Specifically, section B on page 99 outlines the financial statement requirements for franchisees.
Pearce Bespoke requires franchisees to provide both quarterly and annual financial statements at their own expense. These statements must adhere to the forms and chart of accounts specified by Pearce Bespoke. The quarterly financial information is due to Pearce Bespoke by the 30th day of the month following the end of the preceding quarter. The annual financial statement must be submitted on or before March 1st of each year for the preceding calendar year.
The FDD indicates that Pearce Bespoke considers the franchisee's financial data to be owned by the franchisor and classifies it as Proprietary Information. This data may be published in future franchise disclosure documents and shared with other franchisees within the Pearce Bespoke system. This is a fairly standard practice in franchising, allowing the franchisor to benchmark performance and provide insights to the franchise network.