Accounting, CFO, and tax for franchise owners
Multi-unit franchise accounting that shows which locations are actually making money.
Ashmore Books works with multi-unit franchisees and franchise owners who run several locations and entities: consolidated monthly close across every LLC, a location-level profitability dashboard, budgets and expense control, cash management for payroll-heavy operations, and tax planning that runs ahead of the next acquisition instead of behind it.
The problems we hear from franchise owners
Several entities. Big payroll. Constant growth. No clear answer to “am I profitable?”
“I have five LLCs and I still cannot tell which store makes money.”
Entity-by-entity books that were never consolidated, intercompany transfers booked as income or expense, and shared costs dumped into whichever entity paid the bill. The result is a set of P&Ls nobody trusts.
“Payroll is the biggest number and it moves every week.”
Dozens or hundreds of employees across locations means wages, taxes, benefits, and tips dominate cash. Without a weekly cash view, a slow month or a late deposit becomes a scramble.
“We just bought two more units and now the tax bill is a surprise.”
Acquisitions change the tax picture: purchase price allocation, depreciation choices, entity structure, state filings, and estimated payments. When planning happens after closing, options are already gone.
“We made a big purchase and it hurt later.”
Remodels, equipment, and new-unit build-outs paid without a plan for cash, financing, or tax treatment. The right timing and structure can change the outcome materially.
What Ashmore does for franchise owners
One team across all your entities: books, dashboard, cash, and tax.
01
Consolidated multi-entity close
Every LLC closed monthly on the same chart of accounts, intercompany balances reconciled and eliminated, shared costs allocated by an agreed method, and one consolidated set of financials alongside entity-level statements.
02
Location profitability dashboard
A custom dashboard showing sales, prime cost (product plus labor), royalties and marketing fund fees, occupancy, and net profit by location and by entity, so underperformers are visible early.
03
Budgets and expense control
Annual budget by location, monthly budget-versus-actual with variance commentary, labor percentage targets, and vendor and expense reviews that catch drift before it compounds.
04
Cash management
A rolling 13-week cash forecast covering payroll cycles, royalty payments, loan payments, tax deposits, and planned capital spending, with a clear picture of what can be distributed and what must stay.
05
Acquisition and capital planning
Before you sign: financial due diligence on the target unit, purchase price allocation, financing structure, and the tax consequences modeled. After you sign: books opened correctly from day one.
06
Tax planning and preparation across entities
Entity structure review, S-Corp and partnership coordination, owner compensation, depreciation and Section 179 decisions on equipment and build-outs, quarterly estimates, multi-state filings, and preparation of Forms 1065, 1120-S, 1120, and 1040 by an Enrolled Agent-led team.
07
Franchisor reporting
Financials in the format and on the schedule the franchisor requires, royalty and ad fund reconciliations tied to sales reports, and clean support for audits or renewals.
08
Cleanup and catch-up
If the books are behind or the entities were never separated properly, we rebuild from POS, bank, payroll, and loan records first, then move to the monthly rhythm.
Why planning ahead matters
Big decisions have a number attached. We model it before you commit.
A new unit, a remodel, an equipment package, a refinance, or the purchase of a competitor’s locations each change cash, tax, and lender covenants at the same time. Franchise owners who plan these with their accountant six months out keep options: financing structure, timing of the spend, depreciation elections, and entity choice. Owners who bring the closing statement after the fact get whatever the default treatment gives them.
- Financial due diligence before an acquisition
- Purchase price allocation and depreciation planning
- Cash and financing plan for remodels and build-outs
- Entity structure for new units
- Estimated tax updates after every material change
- Lender-ready consolidated packages
Systems we work with
Built around the tools franchises already use.
QuickBooks Online and Xero, with one file per entity or class-based reporting where appropriate. POS and sales reporting from the franchisor system, payroll from Gusto, ADP, Paychex, or your provider, and loan and merchant statements reconciled monthly. The dashboard is built on top of the reconciled books, not on estimates.
- QuickBooks Online
- Xero
- Gusto, ADP, Paychex
- Toast, Square, franchisor POS
- Bill.com and Ramp
- Multi-entity consolidation
Pricing
Fixed monthly fee, scoped by entities and locations.
Franchise engagements are priced as a fixed monthly fee based on the number of entities and locations, transaction and payroll volume, and the reporting and CFO support required. Cleanup of prior periods is quoted as a fixed project after a free Books X-Ray. Tax preparation is quoted upfront by entity. You approve the scope and pricing before work begins. See how pricing works and CFO Services.
FAQ
Common questions
Direct answers to the questions multi-unit owners ask. General information, not advice for your situation.
How do I know which of my franchise locations is profitable?
Each location needs its own P&L with sales, prime cost (product plus labor), royalties and ad fund, occupancy, and net profit, and shared costs must be allocated consistently. Ashmore builds a location dashboard on top of reconciled books so the comparison is real, not estimated.
Should each franchise location be a separate LLC?
Often yes for liability separation, but it multiplies bookkeeping, tax filings, and intercompany activity. The right structure depends on the franchisor, lenders, states, and your exit plan. We review structure as part of tax planning rather than defaulting to one answer.
How do you handle intercompany transfers between my entities?
Transfers are recorded as intercompany loans or contributions, not income or expense, and reconciled monthly so every entity agrees with the others. Consolidated statements eliminate them so the group picture is accurate.
Can you help before I buy more units?
Yes. Financial due diligence on the target, purchase price allocation, financing and cash planning, entity choice, and the tax result modeled before closing. After closing, the new entity is set up correctly from day one.
What about royalty and marketing fund reconciliations?
Royalties and ad fund fees are reconciled to the franchisor’s sales reports every month, so fees tie to reported sales and disputes are caught early.
My books are behind and mixed across entities. Where do I start?
Start with the free Books X-Ray. We review the current files, identify what is mixed or missing, and quote a fixed cleanup. Monthly accounting and the dashboard follow once the books are reliable.
Tell us how many entities and locations you run.
Share the number of locations and LLCs, your POS and payroll systems, and whether an acquisition is coming. You will hear back within one business day.