With whom is the auditor required to communicate regarding the audit of Auntie Annes?

According to Auntie Annes's 2024 Franchise Disclosure Document, the auditor is required to communicate with those charged with governance. This communication includes the planned scope and timing of the audit. It also encompasses significant audit findings. Furthermore, the communication extends to certain internal control-related matters identified during the audit.

For a prospective Auntie Annes franchisee, this indicates that the financial audits of the company are subject to oversight by an independent body or group responsible for governance. This body receives direct communication from the auditor regarding the audit's progress, findings, and any issues related to internal controls.

This communication ensures that those in charge of governing Auntie Annes are well-informed about the financial health and operational integrity of the company. It also allows them to take appropriate action based on the auditor's findings and recommendations. This transparency and accountability can be reassuring for potential franchisees, as it suggests a commitment to sound financial management and ethical practices within the Auntie Annes franchise system.