What ethical requirements are the auditors of Cinnaholic Franchising, LLC required to meet?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
We conducted our audits in accordance with auditing standards generally accepted in the United States of America (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 Cinnaholic Franchising, LLC, 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.
Responsibilities of Management for the Financial Statements
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 61)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, the auditors, Muhammad Zubairy, CPA PC, must adhere to specific ethical requirements. As stated in the Independent Auditor's Report, the audits are conducted in accordance with auditing standards generally accepted in the United States of America (GAAS). A key component of these standards is the requirement for the auditor to be independent of Cinnaholic Franchising, LLC.
In addition to independence, the auditors are obligated to fulfill other ethical responsibilities as dictated by the relevant ethical requirements pertaining to their audits. These responsibilities ensure that the auditors maintain objectivity and integrity throughout the audit process. The auditors must exercise professional judgment and maintain professional skepticism throughout the audit.
These ethical and professional standards are in place to ensure the reliability and credibility of Cinnaholic's financial statements. Prospective franchisees can take assurance in knowing that an independent and ethically bound auditor has reviewed the financial records. This helps to ensure transparency and reduces the risk of financial misrepresentation, which is a common concern for individuals investing in a franchise.