What is the significance of Baker Tilly International Ltd. in relation to the audit of Counselor Realty?

According to the 2025 FDD, Baker Tilly International Ltd. is a global network of which Baker Tilly Advisory Group, LP and Baker Tilly US, LLP are members. Baker Tilly US, LLP, a licensed CPA firm, provides assurance services to its clients, including auditing the financial statements of Counselor Realty Franchising, Inc. Baker Tilly Advisory Group, LP and its subsidiaries offer tax and consulting services but are not licensed CPA firms.

The FDD emphasizes that the member firms of Baker Tilly International Ltd. are separate and independent legal entities. This distinction is important because it clarifies that while Baker Tilly US, LLP is responsible for auditing Counselor Realty's financials, it operates independently within the larger Baker Tilly International network. This independence is a standard requirement for auditing firms to ensure objectivity and impartiality in their assessment of a company's financial statements.

For a prospective Counselor Realty franchisee, this information assures that the company's financial statements have been examined by an independent and qualified CPA firm. The audit, conducted in accordance with generally accepted auditing standards (GAAS), aims to provide reasonable assurance that the financial statements are free from material misstatement. This helps potential franchisees to have confidence in the financial information presented in the FDD, which is crucial for making an informed investment decision.