Do the Baya Bar financial statements include an income statement for each year presented?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
We have audited the accompanying balance sheets of Baya Bar Franchise System, LLC as of December 31, 2023, and 2022 and the related statements of operations, members' equity and cash flows for the years ended December 31, 2023, 2022, and 2021, and the related notes to the financial statements.
In our opinion the financial statements referred to above present fairly, in all material respects, the financial position of Baya Bar Franchise System, LLC as of December 31, 2023, and 2022, and the results of their operations and their cash flows for the years ended December 31, 2023, 2022, and 2021, in accordance with accounting principles generally accepted in the United States of America.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 55–56)
What This Means (2024 FDD)
According to the 2024 Baya Bar Franchise Disclosure Document, the financial statements include statements of operations for the years ended December 31, 2023, 2022, and 2021. These statements of operations, also known as income statements, present the financial performance of Baya Bar over these three years.
Specifically, the independent auditor's report confirms that the audit covered the statements of operations for these years. This indicates that prospective franchisees can review Baya Bar's income and expenses, and thus its profitability, for the past three fiscal years.
Statements of operations are a standard component of audited financial statements, offering insight into a company's revenues, expenses, and overall profitability. Reviewing these statements allows potential Baya Bar franchisees to assess the financial health and historical performance of the franchisor, which is a crucial part of their due diligence process.