factual

Does the Card My Yard FDD include financial statements for the parent company?

Card_My_Yard Franchise · 2025 FDD

Answer from 2025 FDD Document

We are a wholly owned subsidiary of our parent company, CMY Holdco, LLC, a Delaware limited liability company (our "Parent"), which has its principal business address at 2601 Olive Street, Suite 1400, Dallas, Texas 75201.

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 84)

What This Means (2025 FDD)

The 2025 Card My Yard FDD does not explicitly state that the financial statements of the parent company, CMY Holdco, LLC, are included. However, the document does disclose that CMY Franchising, LLC is a wholly-owned subsidiary of CMY Holdco, LLC.

Item 23 of the Card My Yard Franchise Disclosure Document states that franchisees may be required to provide their most recent financial statements to the franchisor if requested. These statements must accurately reflect the franchisee's financial position and adhere to generally accepted accounting principles. The FDD also states that the franchisee must provide copies of their articles of incorporation and bylaws or, as applicable, their written partnership or limited liability company agreement, other governing documents, any amendments to them, resolutions authorizing your entry into and performance of this Agreement, and any certificates, buy-sell agreements or other documents restricting the sale or transfer of your stock or other ownership interests and any other documents that we may reasonably request.

To determine whether the FDD includes the parent company's financial statements, a prospective franchisee should carefully review the exhibits and contact Card My Yard directly. Specifically, they should ask whether the financial statements for CMY Holdco, LLC are included, and if not, whether they can be provided for review. Understanding the parent company's financial health can offer additional insight into the stability and long-term prospects of the Card My Yard franchise system.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.