Where can I find the audited opening balance sheet for Chocolate Fish Coffee, and what date does it cover?
Chocolate_Fish_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
10.2 Reports.
- (a) Financial Reports. Franchisee shall provide such periodic financial reports as Chocolate Fish Franchising may require in the Manual or otherwise in writing, including:
- (i) a monthly profit and loss statement and balance sheet for the Business within 30 days after the end of each calendar month;
- (ii) an annual financial statement (including profit and loss statement, cash flow statement, and balance sheet) for the Business within 90 days after the end of Chocolate Fish Franchising's fiscal year; and
- (iii) any information Chocolate Fish Franchising requests in order to prepare a financial performance representation for Chocolate Fish Franchising's franchise disclosure document.
Source: Item 23 — RECEIPTS (FDD pages 41–119)
What This Means (2024 FDD)
Based on the 2024 Franchise Disclosure Document, the specific location of an audited opening balance sheet for Chocolate Fish Coffee is not explicitly stated. However, franchisees are required to provide financial reports to Chocolate Fish Franchising.
Specifically, Chocolate Fish Coffee franchisees must submit an annual financial statement, including a balance sheet, within 90 days after the end of Chocolate Fish Franchising's fiscal year. While this statement must be provided, the FDD does not specify that this balance sheet must be audited.
For prospective franchisees, it is important to ask Chocolate Fish Coffee's franchisor directly whether an audited opening balance sheet is available for review and to clarify the fiscal year-end date to understand the reporting timeline. This will help in assessing the financial health and reporting practices of the franchise system.