Does the Aunt Millies Bakeries FDD include statements of comprehensive loss?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Reporting Entity: The consolidated financial statements contain the accounts of Perfection Bakeries, Inc., Perfection Distribution LLC, Perfection Associates LLC, and First Capital Acceptance Corporation, (collectively, the "Company") which operate under common management and are of common ownership. Perfection Distribution LLC, Perfection Associates LLC, and First Capital Acceptance Corp., are all 100% wholly owned subsidiaries of Perfection Bakeries, Inc. Perfection Bakeries, Inc. produces and distributes various bread, bun and bakery products throughout the Midwest, predominantly in Indiana, Michigan, Illinois, Kentucky, Wisconsin, and Ohio. The Company also sells its product nationally and internationally through its Bakehouse division, which is the Company's frozen baked goods division, representing approximately 23% and 21% of the Company's total net sales for the years ended September 30, 2024 and 2023, respectively. Perfection Distribution LLC operates as the transportation distribution function for Perfection Bakeries, Inc. as a "carrier for hire" and results in maximizing savings related to sales and use tax. Effective December 1, 2023, Perfection Bakeries, Inc. and Perfection Associates LLC entered into an agreement and plan of merger Perfection Associates LLC merged with and into Perfection Bakeries, Inc. Prior to December 1, 2023, Perfection Associates LLC functioned as an employee leasing company, which leases employees back to Perfection Bakeries, Inc. and Perfection Distribution LLC. First Capital Acceptance Corporation serves as the finance company for the routes that are sold to independent distributors (see Note 4).
All significant intercompany account balances and transactions have been eliminated in the consolidated financial statements.
Marketable Securities: Interest and dividends from marketable securities are included in income as earned. Realized gains (losses) on sales of marketable securities are determined using the specific identification method. Unrealized holding gains and losses on available for sale securities are excluded from earnings and are reported as a separate component of other comprehensive income until realized.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 43)
What This Means (2025 FDD)
According to the 2025 Aunt Millies Bakeries FDD, the consolidated financial statements include the accounts of Perfection Bakeries, Inc., Perfection Distribution LLC, Perfection Associates LLC, and First Capital Acceptance Corporation. These entities operate under common management and ownership. Perfection Distribution LLC and First Capital Acceptance Corp. are wholly-owned subsidiaries of Perfection Bakeries, Inc. Perfection Bakeries, Inc. produces and distributes bakery products in the Midwest, specifically in Indiana, Michigan, Illinois, Kentucky, Wisconsin, and Ohio. The company also sells its product nationally and internationally through its Bakehouse division.
The FDD states that interest and dividends from marketable securities are included in income as earned. Realized gains or losses on sales of marketable securities are determined using the specific identification method. Unrealized holding gains and losses on available for sale securities are excluded from earnings and are reported as a separate component of other comprehensive income until realized.
While the FDD mentions "other comprehensive income," it does not explicitly include a dedicated statement of comprehensive loss. A prospective franchisee may want to confirm with Aunt Millies Bakeries if a separate statement of comprehensive loss is available for review to gain a clearer understanding of the company's financial performance.