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Business Description

We are a Colorado limited liability company that was formed on June 22, 2012 and does business under the name “Payroll Vault Franchising, LLC” and “Payroll Vault”. We do not do business under any other name. We maintain a principal office address at 5231 S. Quebec Street, Suite 260, Greenwood Village, Colorado 80111. Our telephone number is (303) 763-1828.

Prior Experience

We have no parent or predecessor. We have never offered franchises in any other line of business. We started franchising in July of 2012. We have never engaged in any business other than as the Franchisor under the System. Our Affiliates have offered a full range of payroll and accounting and marketing services to the general public and to other accounting professionals. Such services have included payroll, accounting, bookkeeping and management

Business Offered

We grant you the right to operate a Payroll Vault franchised business (Franchised Business) from a “Franchised Location” within a “Protected Territory” that contains approximately 10,000 business of any size. The Franchised Business permits you to sell the Payroll Services to small, medium and large businesses (Clients) using our “System” (defined below) and a payroll software program that is licensed to you in order to operate the Business (the “Payroll Software”). You are not required to be a licensed or certified public accountant. You are required to grant us the right to review your credit and criminal history as part of the approval process.

Initial Fees

Your initial franchise fee (IFF) for a single Franchised Business is $40,000. If you are an honorably discharged veteran, your IFF will be reduced by 10%. The IFF represents payment, in part, for expenses incurred by us in furnishing assistance and services to you, and for other costs incurred by us. Before you open, you will pay us our technology startup fee, which is $750.00 (Franchisee Technology Startup Fee), which will be used to set up your franchise on our internet web system.

Financing

We do not offer direct or indirect financing. We do not guarantee your notes, leases or obligations.

Franchisee Revenue and Profit

The FTC's Franchise Rule permits a franchisor to provide information about the actual or potential financial performance of its franchise and/or franchisor-owned outlets if there is a reasonable basis for this information and if the information is included in the disclosure document. Financial performance information that is included in Item 19 may be given only if: (1) a franchisor provides the actual records of an existing outlet you are considering buying; or (2) a franchisor supplements the information provided in Item 19, for example, by providing information about possible performance at a particular location or under particular circumstances.