FRANMETRICS

Most businesses have every incentive to make that bottom line as LOW as possible for tax purposes. Also, franchisees may have major repairs or other one-time expenses showing a result not related to their actual performance. Most people looking at a P&L go right to the bottom line and make an instant judgment without having the time to do a full investigation. Sure, the franchisee probably knows why, but the franchisor is most likely not going to have the conversation to figure out the issue.