Are the Crave financial statements audited?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
Report of Independent Auditors
To the Member of Crave Franchising, LLC
Opinion
We have audited the accompanying financial statements of Crave Franchising, LLC, (the Company), a Wyoming limited liability company, which comprise Balance sheet as of December 31, 2024, 2023, and 2022, and the related statement of operations and member's equity and cash flows for the year ended December 31, 2024, and the related notes to the financial statements.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2024, 2023, and 2022, and the results of its operations and its cash flows for the year ended December 31, 2024, in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audit 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 the Company 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
Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for one year after March 24, 2025.
Auditors' Responsibilities for the Audit of the Financial Statements
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 62)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the company's financial statements are indeed audited. The FDD includes a "Report of Independent Auditors" that expresses an opinion on the fairness of Crave Franchising, LLC's financial statements as of December 31, 2024, 2023, and 2022.
The audit was conducted in accordance with auditing standards generally accepted in the United States of America (GAAS). These standards require the auditors to be independent and to obtain sufficient evidence to support their opinion. The auditors' responsibilities include assessing the risks of material misstatement in the financial statements and evaluating the appropriateness of Crave's accounting policies.
The inclusion of an audited financial statement provides a level of assurance to potential franchisees that the financial information presented by Crave has been reviewed by an independent accounting firm. This helps franchisees make informed decisions about investing in a Crave franchise. The audit report, dated March 24, 2025, indicates the timeframe within which the audit was conducted and the period the financial statements cover.