Are there any qualifications in the independent accountant's report for Bhc?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
CHI & NAM LLP, CERTIFIED PUBLIC ACCOUNTANTS 3731 WILSHIRE BLVD., STE 777 LOS ANGELES, CA 90010
PHONE: 213-381-3239 FAX: 213-381-5152
INDEPENDENT AUDITOR REPORT
To the Member and Management BHC USA LLC and Subsidiaries
Opinion
We have audited the accompanying consolidated financial statements of BHC USA LLC (a California Limited Liability Company) and its subsidiaries, which comprise the consolidated balance sheet as of December 31, 2024, and the consolidated related statem , and cash flows for the year then ended, and the related notes to the consolidated financial statements.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of BHC USA LLC and subsidiaries as of December 31, 2024, and the results of its operations and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Financial Statements section of our report. We are required to be independent of BHC USA LLC and subsidiaries and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about ability to continue as a going concern within one year after the date that the financial statements are available to be issued.
Source: Item 21 — Financial Statements (FDD page 52)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the independent auditor's report from CHI & NAM LLP states their opinion on the consolidated financial statements of BHC USA LLC and its subsidiaries as of December 31, 2024. The auditor believes that the financial statements present fairly the financial position, results of operations, and cash flows of Bhc in accordance with accounting principles generally accepted in the United States of America. This suggests a clean opinion, without qualifications.
The report indicates that the audit was conducted following generally accepted auditing standards in the United States of America, and the auditors have sufficient evidence to support their opinion. The auditors also affirm their independence from Bhc and their adherence to ethical responsibilities related to the audit. Management is responsible for the preparation and fair presentation of the financial statements, including internal controls and evaluating Bhc's ability to continue as a going concern.
Overall, the language in the auditor's opinion suggests a positive assessment of Bhc's financial statements, without any explicit qualifications or reservations. A prospective franchisee can take comfort in the fact that Bhc's financial statements have been reviewed by an independent auditor and found to be fairly presented.