What does the auditor conclude regarding Aw's ability to continue as a going concern?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about Rayyan Pizza Franchise LLC's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
Muhammad Zubairy, CPA PC Westbury, NY April 10, 2025
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the auditor, Muhammad Zubairy, CPA PC, is responsible for concluding whether there are conditions or events that raise substantial doubt about Rayyan Pizza Franchise LLC's (Aw's) ability to continue as a going concern for a reasonable period of time. This assessment is part of the auditor's broader responsibilities in auditing the financial statements. The auditor's report for the 2024 and 2023 financial statements states that the financial statements present fairly, in all material respects, the financial position of Rayyan Pizza Franchise LLC.
The auditor's responsibilities include obtaining reasonable assurance about whether the financial statements are free from material misstatement, whether due to fraud or error. They also evaluate the appropriateness of accounting policies and the reasonableness of significant accounting estimates made by management, as well as the overall presentation of the financial statements.
Management is responsible for evaluating whether there are conditions or events that raise substantial doubt about Aw's ability to continue as a going concern within one year after the date that the financial statements are available to be issued. The auditor's role is to provide an independent opinion on whether the financial statements present fairly the financial position of Aw, based on their audit. However, the provided excerpts do not contain the auditor's explicit conclusion on whether or not substantial doubt exists regarding Aw's ability to continue as a going concern. A prospective franchisee should review the full auditor's report in the FDD or ask Aw for clarification on this matter.