factual

For what tax years is Americas Best Value Inn subject to audit?

Americas_Best_Value_Inn Franchise · 2025 FDD

Answer from 2025 FDD Document

The Company is subject to federal and certain state income taxes on its taxable income and/or gross receipts notwithstanding its historical net operating losses. The company is subject to audit for tax years ending December 31, 2024, December 31, 2023 and December 31, 2022.

Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 70–71)

What This Means (2025 FDD)

According to Americas Best Value Inn's 2025 Franchise Disclosure Document, the company is subject to audit for tax years ending December 31, 2024, December 31, 2023, and December 31, 2022. This information is relevant to potential franchisees as it provides insight into the company's recent financial oversight and accountability.

Knowing the specific tax years under audit allows prospective franchisees to assess the stability and reliability of the financial data presented in the FDD. Audits are a standard practice to ensure financial statements are accurate and comply with accounting principles. The fact that the company is undergoing regular audits can be seen as a positive sign, indicating a commitment to transparency.

However, it is important to note that being subject to an audit does not necessarily imply any wrongdoing or financial instability. It simply means that the company's financial records are being examined by an independent auditor. Franchisees may want to inquire about the outcomes of these audits to gain a more comprehensive understanding of the company's financial health and any potential implications for their investment.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.