Does the text mention any prohibited actions related to the financial statements of Checkersrallys?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
We conducted our audit of the consolidated financial statements in accordance with auditing standards generally accepted in the United States of America (US GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Company and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
The 2025 Franchise Disclosure Document for Checkersrallys does not explicitly list any prohibited actions related to their financial statements. However, the document emphasizes the importance of ethical responsibilities and adherence to auditing standards.
The financial statements of Checkersrallys have been audited by independent certified public accountants, Grant Thornton LLP, for the fiscal year ended December 30, 2024, and by Ernst & Young LLP for prior periods. These audits were conducted in accordance with auditing standards generally accepted in the United States of America. The auditors are required to be independent of the company and meet ethical requirements relevant to their audits.
Prospective franchisees should be aware that the integrity of financial statements is maintained through these audits and ethical requirements. While the FDD does not detail specific prohibited actions, it is implied that any deviation from standard accounting practices or ethical responsibilities would be a serious concern. A potential franchisee may want to consult with a financial advisor to discuss the implications of these standards and the role of independent auditors in ensuring financial transparency.