Are the Alloy financial statements consolidated?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
To the Members Alloy Personal Training, LLC
Opinion
We have audited the accompanying financial statements of Alloy Personal Training, LLC (a limited liability company), which comprise the balance sheets as of December 31, 2024 and 2023, and the related statements of operations and members' deficit and cash flows for each of the years in the threeyear period ended December 31, 2024, and the related notes to the financial statements.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Alloy Personal Training, LLC as of December 31, 2024 and 2023, and the results of its operations and its cash flows for each of the years in the three-year period ended December 31, 2024, in accordance with accounting principles generally accepted in the United States of America.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 69)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, the financial statements provided are for Alloy Personal Training, LLC as a single entity. The Independent Auditor's Report states that the audit was conducted on the financial statements of Alloy Personal Training, LLC, and the opinion expressed is specifically about the financial position, results of operations, and cash flows of Alloy Personal Training, LLC.
Furthermore, Note 1 in the financial statements describes the organization as Alloy Personal Training, LLC, detailing its formation and purpose. Note 2 confirms that the financial statements have been prepared following accounting principles generally accepted in the United States of America for Alloy Personal Training, LLC. There is no mention of consolidated financial statements that would include the financial results of Alloy and any of its subsidiaries or related entities.
Therefore, a prospective franchisee should be aware that the financial information presented pertains solely to the franchisor, Alloy Personal Training, LLC, and does not reflect a consolidated view of the entire organization, which may include related entities like Alloy Personal Training Solutions, LLC, the Licensor. Understanding the distinction between the franchisor's individual financial performance and any consolidated performance is crucial for assessing the overall financial health and stability of the Alloy franchise system.