What is the acceptable format for submitting financial statements to Body Brain Center?
Body_Brain_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
3435 Wilshire Blvd. Suite 600 Los Angeles, CA 90010 T +1 213 738 6000 F +1 213 738 6062
INDEPENDENT AUDITORS' REPORT
To the Members BODY AND BRAIN CENTER, LLC
Opinion
We have audited the financial statements of Body and Brain Center, LLC (the "Company") (an Arizona limited liability company and wholly owned subsidiary of Body & Brain Yoga and Health Centers, Inc.), which comprise the balance sheet as of December 31, 2023 and 2022, and the related statement of income and changes in member's equity, and cash flows for the year then ended, and the related notes to the financial statements. In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of Body and Brain Center, LLC as of December 31, 2023 and 2022, and the results of its operations and its cash flows for the years then ended in accordance with accounts 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 (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Company 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.
Source: Item 23 — RECEIPT (FDD pages 43–178)
What This Means (2025 FDD)
According to Body Brain Center's 2025 Franchise Disclosure Document, the company's financial statements for 2023 and 2022 were audited by ABC CPAs, located in Los Angeles, California. The audit was conducted in accordance with auditing standards generally accepted in the United States of America (GAAS). The financial statements include the balance sheet as of December 31, 2023 and 2022, the related statement of income and changes in member's equity, cash flows for the year then ended, and related notes. The auditor's report expresses an opinion on whether the financial statements present fairly the financial position, results of operations, and cash flows of Body Brain Center in accordance with accounting principles generally accepted in the United States of America.
Furthermore, the financial statements and related notes are the responsibility of Body Brain Center's management, who are responsible for their integrity and objectivity. The accounting policies used conform to accounting principles generally accepted in the United States of America and have been consistently applied in preparing the financial statements. Management is also responsible for making judgments, estimates, and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent items, and reported amounts of revenue and expenses.
While the FDD provides information on Body Brain Center's financial statement preparation and auditing, it does not specify the exact format required for franchisees to submit their own financial statements to the company. A prospective franchisee should directly ask Body Brain Center's franchisor about the required format, frequency, and any specific accounting standards or software that franchisees must use when submitting their financial data.