What is the purpose of the consolidating schedule in the City Wide Franchise Company, Inc. & Subsidiaries financial statements?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
Our audits were conducted for the purpose of forming an opinion on the consolidated financial statements that collectively comprise the Company's consolidated financial statements. The consolidating schedules listed in the table of contents are presented for purposes of additional analysis and are not a required part of the consolidated financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the consolidated financial statements.
The consolidating schedules have not been subjected to the auditing procedures applied in the audit of the consolidated financial statements and accordingly, we do not express an opinion or provide any assurance on it.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the consolidating schedules within the financial statements are included to provide additional analysis of the company's financial performance. These schedules are not a required part of the consolidated financial statements, but rather serve to offer a more detailed breakdown of the company's financial activities. The consolidating schedule for the statement of income (loss) and comprehensive income (loss) for the year ended December 31, 2024, is one such example. Another consolidating schedule is the balance sheet as of December 31, 2024.
The FDD states that the information presented in the consolidating schedules is the responsibility of City Wide's management and is derived directly from the company's underlying accounting and other records used to prepare the consolidated financial statements. This means that while the schedules offer a deeper look into the financials, they are based on the same data used for the main financial statements.
It is important to note that these consolidating schedules have not been subjected to the same auditing procedures as the consolidated financial statements. As a result, the independent auditor does not express an opinion or provide any assurance on the information presented in these schedules. Prospective franchisees should understand that while the consolidating schedules can be helpful for gaining a more granular understanding of City Wide's financial performance, they should be viewed as supplementary information rather than audited financial statements.