What accounting standards are used in the Afuri Ramen Dumpling financial statements?

According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, the company prepares its financial statements in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). This is explicitly stated in the notes to the financial statements, specifically regarding the basis of presentation.

This means that Afuri Ramen Dumpling adheres to a standardized set of accounting rules and guidelines when reporting its financial performance and position. U.S. GAAP aims to ensure transparency and consistency in financial reporting, making it easier for potential franchisees and other stakeholders to understand and compare the company's financial statements with those of other businesses.

For a prospective franchisee, this is important because it provides a level of assurance that the financial information presented by Afuri Ramen Dumpling is prepared using a recognized and accepted framework. It also allows for a more informed assessment of the company's financial health and performance, which is crucial when considering a franchise investment. The independent auditor's report also corroborates that the financial statements are presented fairly in accordance with U.S. GAAP.