Are the Augusta Lawn Care financial statements presented in Exhibit B the only financial statements I should consider?
Augusta_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
A copy of the Augusta Lawn Care Franchise Agreement is included as Exhibit A to this Franchise Disclosure Document, and includes the following exhibits:
The Franchise Agreement and the following exhibits:
Exhibit A – Franchise Data Sheet Exhibit B – Statement of Ownership Exhibit C – Principal Owner's Guaranty Exhibit D – Sample Release Agreement, Waiver and Release of Claims Exhibit E – Nondisclosure, Nonsolicitation and Noncompetition Agreement Exhibit F – Sample Confidentiality Agreement
Exhibit G – Sample Approval of Requested Assignment
Exhibit H – SBA Addendum
A copy of the Franchise Disclosure Questionnaire is included as Exhibit F to this Franchise Disclosure Document.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 43)
What This Means (2025 FDD)
According to the 2025 Augusta Lawn Care Franchise Disclosure Document, Exhibit B contains the Statement of Ownership. While the FDD references financial reporting, it does not specify that Exhibit B contains the only financial statements a prospective franchisee should consider.
Item 7.5.2 requires franchisees to submit monthly financial reports on income and expenses, in a format specified in the Manual, to Augusta Lawn Care. Franchisees must also submit copies of all federal, state, and local income, sales, and property tax returns at the time of filing. Augusta Lawn Care uses this data to confirm compliance with the Franchise Agreement and to formulate earnings and expense information for possible disclosure to prospective franchisees.
Item 7.5.1 requires franchisees to record all sales and receipts of revenue on individual serial-numbered receipts, validated by bank deposits. These records, along with daily sales reporting forms, must be retained for at least three years (or longer if required by law) and furnished to Augusta Lawn Care upon request.
Prospective franchisees should ask Augusta Lawn Care for clarification on what specific financial statements are included in the FDD and what other financial information they should review to make an informed investment decision. They should also inquire about the availability of audited financial statements for Augusta Lawn Care.