What was the net income for Burros Fries at the end of the year December 31, 2021?

According to Burros Fries's 2024 Franchise Disclosure Document, the company's financial statements for the year ending December 31, 2021, were restated to correct errors. These errors included an overstatement of franchise fees in revenues, an understatement of legal expenses and amortization, and an understatement of income tax provision. The net effect of these corrections resulted in an overstatement of net income by $50,249 after considering the impact of income taxes. Additionally, the ending retained earnings as of December 31, 2020, were adjusted upwards by $82,077 to reflect the restatement's effect on the prior year.

This restatement indicates that the initial financial figures presented for 2021 were inaccurate, which could be a concern for potential franchisees. It's important to understand the reasons behind these errors and whether Burros Fries has implemented measures to prevent similar issues in the future. The fact that the net income was initially overstated by a significant amount could have influenced earlier investment decisions or financial projections.

Prospective franchisees should carefully review the restated financial statements and seek clarification from Burros Fries regarding the specific nature of the errors and the steps taken to ensure the accuracy of future financial reporting. Understanding the details of these corrections is crucial for making an informed investment decision and assessing the financial stability and transparency of the franchise.