What does the Brain Balance financial report include in addition to the financial statements?

According to the 2025 Brain Balance Franchise Disclosure Document, the financial report includes an independent auditor's report and financial statements. The financial statements further break down into a balance sheet, a statement of operations, a statement of changes in member's equity (deficit), a statement of cash flows, and notes to the financial statements.

These components provide a comprehensive overview of Brain Balance's financial health. The independent auditor's report offers an unbiased opinion on the fairness and accuracy of the financial statements. The balance sheet shows the company's assets, liabilities, and equity at a specific point in time. The statement of operations, also known as the income statement, reveals the company's financial performance over a period of time, detailing revenues, expenses, and profit or loss. The statement of changes in member's equity tracks the changes in the ownership stake in the company. The statement of cash flows illustrates the movement of cash both into and out of the company, categorized by operating, investing, and financing activities. Finally, the notes to the financial statements provide additional details and explanations of the figures presented in the main statements.

Prospective franchisees should carefully review all these components to gain a thorough understanding of Brain Balance's financial stability and performance. Understanding these statements can help potential franchisees assess the financial risks and opportunities associated with investing in a Brain Balance franchise. It is important to note that these financial statements have been prepared without an audit.