Where can I find the audited financial statements of GoTo Systems, the parent company of Cinnabon?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
Attached as Exhibit A to this Disclosure Document are the audited financial statements of GoTo Systems, our parent company, which include the consolidated balance sheets as of December 29, 2024 and December 31, 2023 and the related consolidated statements of operations, changes in member's equity, and cash flows for the fiscal years ended December 29, 2024, December 31, 2023, and December 25, 2022. GoTo Systems guarantees the performance of our obligations under the Franchise Agreement. A copy of the guaranty of GoTo Systems is attached as Exhibit A.
As reflected in Item 1, GoTo Foods will be providing required support and services to franchisees under a management agreement with us. Attached as Exhibit A are the audited financial statements of GoTo Foods as of and for the fiscal years December 29, 2024 and December 31, 2023. These financial statements are being provided for disclosure purposes only. GoTo Foods is not a party to the Franchise Agreement or other agreement we sign with franchisees nor does it guarantee our obligations under the Franchise Agreement or other agreements we sign with franchisees.
Source: Item 21 — Financial Statements (FDD page 113)
What This Means (2025 FDD)
According to Cinnabon's 2025 Franchise Disclosure Document, the audited financial statements of GoTo Systems, the parent company, are included as Exhibit A to the FDD. These statements include consolidated balance sheets as of December 29, 2024, and December 31, 2023, along with related consolidated statements of operations, changes in member's equity, and cash flows for the fiscal years ended December 29, 2024, December 31, 2023, and December 25, 2022.
GoTo Systems provides a guarantee of Cinnabon's obligations under the Franchise Agreement, and a copy of this guarantee is also attached as Exhibit A. This is a common arrangement in franchising where a larger parent company provides financial backing to a subsidiary franchisor.
Additionally, the FDD includes audited financial statements for GoTo Foods as of and for the fiscal years ending December 29, 2024, and December 31, 2023, also as Exhibit A. However, the document clarifies that GoTo Foods is providing support and services to franchisees under a management agreement and that these financial statements are for disclosure purposes only. GoTo Foods is not a party to the Franchise Agreement and does not guarantee Cinnabon's obligations.
Prospective franchisees should carefully review these financial statements and guarantees to understand the financial health and obligations of both Cinnabon and its parent company, GoTo Systems. Understanding the relationship between these entities is crucial for assessing the stability and support that Cinnabon can provide as a franchisor.