Does the Bombs Away franchise include Item 21 financial statements in its disclosure documents?

Yes, according to the 2024 Bombs Away Franchise Disclosure Document, the disclosure document includes Item 21 Financial Statements. Specifically, Exhibits to the disclosure document include: State Addenda to Disclosure Document, Franchise Agreement (with State Addenda to Agreements, Guaranty and Non-Compete Agreement, and Form of General Release), Item 21 Financial Statements, and State Administrators and Agents for Service of Process.

Item 21 of the FDD typically contains the franchisor's audited financial statements, including balance sheets, income statements, and cash flow statements. This information is crucial for prospective franchisees as it provides insight into the financial health and stability of Bombs Away. Reviewing these statements can help potential franchisees assess the franchisor's ability to support its franchisees and fulfill its obligations.

It is important for potential Bombs Away franchisees to carefully review Item 21 with a financial advisor to understand the franchisor's financial performance, identify any potential risks, and make an informed decision about investing in the franchise. Analyzing the financial statements in Item 21 is a standard practice in franchise due diligence, ensuring that franchisees are aware of the financial standing of the franchisor before committing to the franchise agreement.