What accounting principles are the Crave Cookies financial statements in conformity with?

According to Crave Cookies' 2025 Franchise Disclosure Document, the company's financial statements are prepared in accordance with accounting principles generally accepted in the United States of America. This adherence to GAAP (Generally Accepted Accounting Principles) is confirmed by the independent auditor's reports included in the FDD. These reports express an opinion that the financial statements present fairly, in all material respects, the financial position, results of operations, and cash flows of Crave Cookies in accordance with GAAP.

For a prospective franchisee, this means that Crave Cookies' financial reporting follows a standardized and widely recognized framework. This allows for easier comparison of Crave Cookies' financial performance with other franchise systems or investment opportunities. The use of GAAP also provides a level of assurance that the financial statements are prepared using consistent and reliable methods.

The independent audits conducted by accounting firms further support the reliability of these financial statements. The auditors state that their audits were performed in accordance with auditing standards generally accepted in the United States of America (GAAS). These standards require the auditors to obtain reasonable assurance about whether the financial statements are free from material misstatement.

It is important for potential Crave Cookies franchisees to carefully review the full financial statements and accompanying notes, along with the independent auditor's report, to gain a thorough understanding of the company's financial condition and performance. Understanding the specific accounting policies Crave Cookies employs, such as those for revenue recognition, expense recognition, and asset valuation, is crucial for making an informed investment decision.