With whom is the auditor required to communicate regarding the audit of Checkers?

According to Checkers' 2025 Franchise Disclosure Document, the auditor is required to communicate with those charged with governance. This communication includes the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters identified during the audit.

For a prospective Checkers franchisee, this indicates that the audit process involves a formal communication channel between the auditor and the governing body of Checkers. This ensures that key stakeholders are informed about the audit's progress, findings, and any issues related to internal controls. The communication helps maintain transparency and accountability in the financial reporting process.

The auditor's responsibilities also include exercising professional judgment, assessing risks of material misstatement, understanding internal controls, evaluating accounting policies, and concluding on the company's ability to continue as a going concern. These responsibilities are in accordance with auditing standards generally accepted in the United States of America (US GAAS).

This communication requirement is a standard practice in auditing, ensuring that those responsible for the oversight of Checkers are well-informed about the financial health and internal control environment of the company. Franchisees can take comfort in knowing that the financial statements are subject to rigorous review and that any significant issues are communicated to the appropriate parties.