As of what dates are the consolidated balance sheets of GoTo Systems included in the Auntie Annes FDD?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
Attached as Exhibit A to this Disclosure Document are the audited financial statements of GoTo Systems, our parent company, which include the consolidated balance sheets as of December 31, 2023 and December 25, 2022 and the related consolidated statements of operations, changes in member's equity, and cash flows for the fiscal years ended December 31, 2023, December 25, 2022, and December 26, 2021. GoTo Systems guarantees the performance of our obligations under the Franchise Agreement. A copy of the guaranty of GoTo Systems is attached as Exhibit A.
As reflected in Item 1, GoTo Foods will be providing required support and services to franchisees under a management agreement with us. Attached as Exhibit A are the audited financial statements of GoTo Foods as of and for the fiscal years December 31, 2023 and December 25, 2022. These financial statements are being provided for disclosure purposes only. GoTo Foods is not a party to the Franchise Agreement or other agreement we sign with franchisees nor does it guarantee our obligations under the Franchise Agreement or other agreements we sign with franchisees.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 105–106)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, the audited financial statements of GoTo Systems, the parent company, include consolidated balance sheets as of December 31, 2023, and December 25, 2022. These statements also feature the related consolidated statements of operations, changes in member's equity, and cash flows for the fiscal years ended December 31, 2023, December 25, 2022, and December 26, 2021.
These financial statements are crucial for prospective Auntie Annes franchisees because GoTo Systems guarantees the performance of Auntie Annes's obligations under the Franchise Agreement. This guarantee provides a level of financial security, assuring franchisees that the parent company stands behind the franchisor's commitments.
Furthermore, the FDD includes audited financial statements of GoTo Foods as of and for the fiscal years ending December 31, 2023, and December 25, 2022. However, these statements are for disclosure purposes only, as GoTo Foods is not a party to the Franchise Agreement and does not guarantee Auntie Annes's obligations. This distinction is important for franchisees to understand the different roles and responsibilities of GoTo Systems and GoTo Foods within the Auntie Annes franchise system.