For how many years are Churchs Chicken's audited financial statements provided in the FDD?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Cajun may, in its reasonable discretion, require that Franchisee, at Franchisee's expense, submit audited financial statements prepared by a certified public accounting firm acceptable to Cajun for any fiscal year or any period or periods of a fiscal year.
- **D.
Other Reports and Information.** Franchisee shall submit to Cajun, for review or auditing, such other forms, financial statements, reports, records, operational data, metrics, copies of contracts and agreements, status reports and documents related to litigation and claims, information, and data as Cajun may reasonably designate, in the form and at the times and places reasonably required by Cajun, upon request and as specified from time-to-time in the Manual or otherwise in writing.
If Franchisee has
combined or consolidated financial information relating to its franchised Church's Restaurants with that of any other business or businesses, including a business licensed by Cajun, Franchisee shall simultaneously submit to Cajun, for review or auditing, the forms, reports, records and financial statements (including, but not limited to, the Quarterly Statements and Annual Financial Statements) which contain the detailed financial information relating to its franchised Church's Restaurants, separate and apart from the financial information of such other businesses. Franchisee shall authorize all of its suppliers and distributors to release to Cajun, upon Cajun's request, any and all of their books, records, accounts or other information relating to goods, products and supplies sold to Franchisee and/or the Franchised Restaurant. Cajun may engage a third party to analyze any financial statements, reports, or other data from or about Franchisee.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 67)
What This Means (2025 FDD)
Based on the 2025 Churchs Chicken Franchise Disclosure Document, the excerpts provided do not specify the number of years of audited financial statements included in the FDD. The document does discuss the franchisee's requirements to submit financial statements to Cajun for review or auditing, and the franchisor's right to audit franchisee records. However, this pertains to the franchisee's financial reporting obligations rather than the franchisor's financial statements.
Item 23 outlines the franchisee's obligations to provide financial information to Churchs Chicken's parent company, Cajun Global LLC, for review or auditing purposes. This includes submitting various forms, financial statements, reports, records, operational data, and other relevant documents as reasonably required by Cajun Global. Franchisees must also ensure that if their Churchs Chicken restaurant's financial data is combined with other businesses, separate detailed financial information for the franchise is provided.
To determine the number of years of audited financial statements included in the FDD, a prospective franchisee should review Item 21, "Financial Statements," within the complete 2025 Churchs Chicken FDD. If this information is not present, they should directly ask the franchisor for clarification during their due diligence process. Understanding the franchisor's financial history is crucial for assessing the financial stability and overall health of the Churchs Chicken franchise system.