Are the C12 Group financial statements consolidated?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
The consolidated financial statements include the accounts of The C12 Group, LLC and C12 Atlanta, LLC. All significant inter-company account balances and transactions have been eliminated in the accompanying consolidated financial statements.
The consolidated financial statements are prepared in conformity with United States generally accepted accounting principles (GAAP).
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, the financial statements are consolidated. Specifically, the financial statements include the accounts of The C12 Group, LLC and its subsidiary, C12 Atlanta, LLC. This means that the assets, liabilities, and operating accounts of both entities are combined into a single set of financial statements, providing a comprehensive view of the company's overall financial position and performance.
The FDD clarifies that all significant inter-company account balances and transactions between The C12 Group, LLC and C12 Atlanta, LLC have been eliminated during the consolidation process. This elimination prevents the artificial inflation of financial figures that could occur if these internal transactions were counted twice.
The consolidated financial statements are prepared in conformity with the United States generally accepted accounting principles (GAAP). This adherence to GAAP ensures that the financial statements are presented fairly and consistently, allowing for meaningful comparisons with other companies and across different reporting periods. Prospective franchisees can review these statements to gain a better understanding of C12 Group's financial health and stability.