Does the Zoomin Groomin Franchise Agreement address sales, excise, or gross receipts taxes?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
ach week for Royalty collection purposes is Saturday at midnight. If you operate more than one (1) Vehicle (through this Agreement or any other agreement with us), your Gross Revenue Report must be reported to us on a per-Vehicle basis.
2.5.Sales, Excise or Gross Receipts Tax
If required by the federal government, state or locality in which your Franchised Business is located, the
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the Franchise Agreement does address sales, excise, or gross receipts taxes. Specifically, if required by the federal, state, or local government where the franchised business is located, the initial franchise fee, royalties, and possibly other goods or services may be subject to sales, excise, gross receipts, or similar taxes. The franchisee is responsible for paying these taxes to Zoomin Groomin at the same time and in the same manner as they pay the associated fees.
This means that a Zoomin Groomin franchisee may have to collect and remit sales tax, excise tax, or gross receipts tax on the initial franchise fee, royalty fees, and other goods or services, depending on the applicable laws in their area. This is a common practice in franchising, as franchisees are generally responsible for complying with all applicable tax laws and regulations.
Prospective franchisees should be aware of the potential tax obligations associated with owning a Zoomin Groomin franchise and should consult with a tax advisor to understand their specific responsibilities. They should also factor in these potential tax costs when evaluating the overall financial viability of the franchise.