Are there any unaudited financial statements included in the Bor Restoration FDD?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
INDEPENDENT AUDITORS' REPORT
To Management and the Owner of BOR Franchising, LLC:
Opinion
We have audited the accompanying financial statements of BOR Franchising, LLC (the "Company"), which comprise the balance sheets as of December 31, 2022, 2021 and 2020, and the related statements of operations, owner's equity and cash flows for the years then ended, and the related notes to the financial statements.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of BOR Franchising, LLC as of December 31, 2022, 2021 and 2020, and the results of its operations and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audits in accordance with auditing standards generally accepted in the United States of America. 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 audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Source: Item 21 — Financial Statements (FDD pages 39–40)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the financial statements included have been audited by an independent auditor. The Independent Auditors' Report states that the financial statements of BOR Franchising, LLC, which include balance sheets as of December 31, 2022, 2021, and 2020, and related statements of operations, owner's equity, and cash flows for the years then ended, have been audited.
The report explicitly states the auditor's opinion that the financial statements present fairly the financial position of Bor Restoration as of December 31, 2022, 2021, and 2020, and the results of its operations and its cash flows for the years then ended, in accordance with accounting principles generally accepted in the United States of America. This indicates that the financial statements have undergone a formal audit process by an independent firm.
The presence of an independent auditor's report suggests a higher level of scrutiny and assurance regarding the accuracy and reliability of the financial information provided in the FDD. This is beneficial for prospective franchisees as it provides a more credible basis for evaluating the financial health and performance of Bor Restoration.