What is the name of the auditing firm that audited City Publications?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
In performing an audit in accordance with GAAS, we:
ese CPALLC
- Exercise professional judgment and maintain professional skepticism throughout the audit.
- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of CITY PUBLICATIONS FRANCHISE GROUP, INC.'s internal control. Accordingly, no such opinion is expressed.
- Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about CITY PUBLICATIONS FRANCHISE GROUP, INC.'s ability to continue as a going concern for a reasonable period of time.
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, the financial statements for the years ending December 31, 2024, and 2023 were audited by ese CPALLC. The report, dated April 20, 2025, was issued from Ft. Collins, Colorado. The audit was conducted in accordance with auditing standards generally accepted in the United States of America (GAAS).
The auditor's report expresses an opinion on whether the financial statements present fairly the financial position of City Publications Franchise Group, Inc. in accordance with accounting principles generally accepted in the United States of America. The auditor's responsibilities include obtaining reasonable assurance about whether the financial statements are free from material misstatement, whether due to fraud or error.
It is important for a prospective City Publications franchisee to note that the financial statements for the year ended December 31, 2022, were audited by another auditor, who expressed an unmodified opinion on those statements on March 15, 2023. This indicates a change in auditors, which is not uncommon but may warrant further inquiry to understand the reasons for the change. A potential franchisee may want to investigate why City Publications switched auditors and if there were any disagreements with the previous auditor.