According to Checkersrallys's 2025 Franchise Disclosure Document, the financial statements are indeed audited. Item 21 includes the audited consolidated balance sheets as of December 30, 2024 (Successor), January 1, 2024 (Successor) and January 2, 2023 (Predecessor), along with the related consolidated statements of operations, stockholder's equity (deficit), and cash flows for specified periods. These financial statements are attached as Exhibit H to the Franchise Disclosure Document.

The inclusion of an independent auditor's report signifies that an external accounting firm has examined Checkersrallys's financial statements and provided an opinion on their fairness and reliability. This audit is conducted in accordance with auditing standards generally accepted in the United States of America (US GAAS). The auditor's report expresses an opinion on whether the financial statements present fairly, in all material respects, the financial position, results of operations, and cash flows of Checkersrallys in accordance with accounting principles generally accepted in the United States of America.

For a prospective franchisee, the presence of audited financial statements provides a higher level of confidence in the financial information presented by Checkersrallys. It means that an independent expert has reviewed the company's accounting practices and financial reporting, reducing the risk of material misstatements or omissions. This is crucial for making an informed investment decision, as it allows potential franchisees to assess the financial health and stability of Checkersrallys based on reliable data. The FDD includes reports from Grant Thornton LLP and Ernst & Young LLP, both of whom have audited Checkersrallys's financial statements for different periods.