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Restaurant Profit Sharing Agreement
"I need a Restaurant Profit Sharing Agreement for my Italian restaurant in Manchester, where I want to share 20% of the profits with my head chef and restaurant manager, with quarterly distributions starting from March 2025."
1. Parties: Identification of all parties to the agreement
2. Background: Context and purpose of the profit sharing arrangement
3. Definitions: Key terms used throughout the agreement
4. Profit Calculation: Method for calculating distributable profits, including revenue recognition and allowable deductions
5. Distribution Mechanism: How and when profits will be distributed between the parties
6. Financial Reporting: Requirements for financial statements, reporting periods, and audit rights
7. Term and Termination: Duration of agreement and circumstances under which it can be terminated
8. Governing Law: Confirmation that the agreement is governed by English and Welsh law
1. Employee Profit Share Scheme: Details of how employees participate in profit sharing, including eligibility and distribution formulas
2. Intellectual Property: Provisions regarding ownership and use of restaurant brand, recipes, and other IP assets
3. Non-compete: Restrictions on parties operating competing businesses within specified areas
4. Management Provisions: Framework for operational decision-making and management responsibilities
1. Schedule 1: Profit Calculation Formula: Detailed methodology and formulas for calculating distributable profits
2. Schedule 2: Distribution Timeline: Calendar of profit distribution dates and related deadlines
3. Schedule 3: Financial Reporting Template: Standardized format for regular financial reporting
4. Schedule 4: Restaurant Assets: Comprehensive list of assets included in profit calculations
5. Schedule 5: Excluded Costs: Detailed list of expenses specifically excluded from profit calculations
Authors
Accounting Period
Base Costs
Business Day
Commencement Date
Confidential Information
Distributable Profits
Distribution Date
Effective Date
Excluded Costs
Financial Year
Gross Profit
Initial Term
Management Fee
Net Profit
Operating Costs
Operating Revenue
Parties
Profit Share
Profit Share Percentage
Restaurant
Restaurant Business
Restaurant Premises
Revenue
Term
Territory
Working Capital
Profit Share Partner
Profit Distribution
Management Services
Operating Expenses
Calculation Period
Payment Date
Reporting Period
Financial Statements
Accounting Principles
Business Hours
Intellectual Property Rights
Force Majeure Event
Material Adverse Change
Profit Calculation
Profit Distribution
Payment Terms
Financial Records
Reporting Requirements
Audit Rights
Management Responsibilities
Term and Duration
Termination
Confidentiality
Non-Competition
Non-Solicitation
Intellectual Property
Force Majeure
Assignment and Transfer
Amendments
Notices
Dispute Resolution
Governing Law
Jurisdiction
Entire Agreement
Severability
Waiver
Third Party Rights
Management Services
Operating Standards
Working Capital
Accounting Principles
Tax Treatment
Employee Participation
Default and Remedies
Insurance
Indemnification
Change of Control
Representations and Warranties
Business Operations
Decision Making
Bank Accounts
Record Keeping
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