Does the 1 800 Packouts FDD include a statement of retained earnings for its Parent company?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
1. Description of Organization and Summary of Significant Accounting Policies
a. Organization
FS PEP Holdco, LLC is a holding company established for the purpose of acquiring and operating home services related franchisor companies. Through its franchisor entities located throughout the United States, the Company seeks to establish profitable and sustainable franchise systems that provide franchise partners the tools to profitably operate and own a successful home service business.
b. Basis of Presentation and Principles of Consolidation
The consolidated financial statements are presented in conformity with accounting principles generally accepted in the United States of America (US GAAP) and include the accounts of FS PEP Holdco, LLC and its wholly owned subsidiaries: Five Star Connect, Inc.; Gotcha Covered Franchising, LLC; Ringside Development Company; Bio-One IP Group, LLC; Ringside Group, LLC; Mosquito Shield Franchise, LLC; 1-800-Packounts Holdco, LLC; CMY Holdco, LLC; Five Star Bath, Inc; Five Star Franchising, LLC; and its wholly owned subsidiary Five Star Bath, LLC.
FS PEP Holdc
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 65–66)
What This Means (2025 FDD)
The 2025 1 800 Packouts FDD includes information about the parent company, FS PEP Holdco, LLC. Specifically, the document states that the consolidated financial statements include the accounts of FS PEP Holdco, LLC and its wholly owned subsidiaries. These consolidated financial statements are presented in conformity with accounting principles generally accepted in the United States of America (US GAAP).
While the FDD mentions that the financial statements are consolidated and include FS PEP Holdco, LLC, it does not explicitly state whether a statement of retained earnings for the parent company is included. The FDD does state that FS PEP Holdco, LLC is a holding company established for the purpose of acquiring and operating home services related franchisor companies.
To determine if a statement of retained earnings is included for FS PEP Holdco, LLC, a prospective franchisee should carefully review the full financial statements included in the FDD or request this specific information from 1 800 Packouts.