Are the financial statements for Baymont Inn Suites audited?
Baymont_Inn_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Directors and Stockholders of Wyndham Hotels & Resorts, Inc.
Opinions on the Financial Statements and Internal Control over Financial Reporting
We have audited the accompanying consolidated balance sheets of Wyndham Hotels & Resorts, Inc. and subsidiaries (the "Company") as of December 31, 2024 and 2023, the related consolidated statements of income, comprehensive income, equity, and cash flows, for each of the three years in the period ended December 31, 2024, and the related notes (collectively referred to as the "financial statements"). We also have audited the Company's internal control over financial reporting as of December 31, 2024, based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission ("COSO").
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2024, in conformity with accounting principles generally accepted in the United States of America. Also, in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2024, based on criteria established in Internal Control — Integrated Framework (2013) issued by COSO.
Basis for Opinions
The Company's management is responsible for these financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management's Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on these financial statements and an opinion on the Company's internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 96)
What This Means (2025 FDD)
According to Baymont Inn Suites's 2025 Franchise Disclosure Document, the financial statements of Wyndham Hotels & Resorts, Inc., the indirect parent company of Baymont Franchise Systems, Inc., are audited by an independent registered public accounting firm. This firm provides opinions on the consolidated financial statements, which include balance sheets, statements of income, equity, and cash flows. The audit also extends to the company's internal control over financial reporting.
The independent auditor's report confirms that the financial statements of Wyndham Hotels & Resorts, Inc. are presented fairly and conform to accounting principles generally accepted in the United States of America. Additionally, the auditor attests to the effectiveness of the company's internal control over financial reporting. This rigorous audit process is based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
For a potential Baymont Inn Suites franchisee, this indicates that the financial information provided by the parent company has been scrutinized by an independent expert, adding a layer of credibility. While this doesn't directly audit the Baymont Inn Suites franchise system itself, it does provide assurance regarding the financial health and reporting practices of its parent company, Wyndham Hotels & Resorts, Inc. This can be an important factor in assessing the overall stability and reliability of the franchise opportunity.