Provisional

accounts

The Doubin law does not require franchisors to provide franchisees with provisional accounts as part of the drafting of the Pre-contractual Information Document.

On the contrary, the establishment, by the franchisor, of such provisional accounts poses a risk to the latter. Indeed, in the event that the franchisor voluntarily communicates such accounts to its franchisee, the franchisee may turn against the franchisor if it fails to achieve the objectives set out in the provisional accounts.

Find here a video on the referencing of accountants for the establishment of provisional accounts.

However, in order to allow the franchisee to know the reliability of the project, it is necessary to communicate to the franchisee elements allowing the latter to draw up its accounts, the average income statement of a franchisee in the network for example.

You can also consult here an article published in Toute la Franchise on the nullity of the franchise contract for overly optimistic forecasts.