What is the standard for the preparation and fair presentation of Crave Franchising, LLC's financial statements?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
tatement of Cash Flows | Page 6 | | Notes to the Financial Statements | Page 7 |
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.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the company prepares its financial statements in accordance with accounting principles generally accepted in the United States of America. This indicates that Crave adheres to a standardized and widely recognized framework for financial reporting.
Specifically, the financial statements, including the balance sheets as of December 31, 2024, 2023, and 2022, and the related statements of operations, member's equity, and cash flows for the year ended December 31, 2024, are prepared on the accrual basis of accounting. This basis recognizes revenues when earned and expenses when incurred, regardless of when cash changes hands, providing a more accurate picture of Crave's financial performance over time.
Furthermore, the independent auditors' report expresses an opinion that Crave's financial statements present fairly, in all material respects, the company's financial position, results of operations, and cash flows in accordance with these accounting principles. This opinion is based on an audit conducted in accordance with auditing standards generally accepted in the United States of America, providing assurance that the financial statements are reliable and free from material misstatement.