Has a Certified Public Accountant audited the financial figures presented for Big Apple Bagels?

According to Big Apple Bagels's 2025 Franchise Disclosure Document, the financial figures presented have not been audited by a Certified Public Accountant. Item 19 explicitly states that "no Certified Public Accountant has audited these figures or expressed his/her opinion with regard to their content of form." The FDD further clarifies that the amounts presented have not been audited or reviewed for reasonableness by independent auditors.

This means that the revenue figures provided by Big Apple Bagels are based on reports submitted by franchisees, but the franchisor has not independently verified these numbers for accuracy or compliance with accounting standards. As a result, prospective franchisees should view the financial performance representations with caution and understand that the numbers may not be fully reliable.

Given this lack of independent verification, Big Apple Bagels encourages prospective franchisees to conduct their own independent investigation of the costs and expenses they will incur and to consult with their own accounting, business, and legal advisors. They also recommend contacting existing Big Apple Bagels store operators to discuss their experiences and store performance. This due diligence is crucial to assess the potential financial performance of a Big Apple Bagels franchise accurately.

It is common practice in the franchise industry for franchisors to present financial performance representations in their FDDs. However, the level of assurance regarding these figures can vary. Some franchisors may choose to have their financial data audited by a CPA, while others, like Big Apple Bagels, do not. The absence of an audit increases the importance of independent verification by the prospective franchisee.