What accounting principles must Crave Cookies Franchising, LLC's financial statements adhere to?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
e, members' equity, and cash flows for the year then ended, and the related notes to the financial statements.
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of Crave Cookies Franchising, LLC as of December 31, 2024 and the results of its operations and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audits 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 Crave Cookies Franchising, LLC, and to meet our other 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.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, the company's financial statements must adhere to accounting principles generally accepted in the United States of America. This is explicitly stated within the Independent Auditor's Report, which provides an opinion on whether the financial statements present fairly the financial position, results of operations, and cash flows of Crave Cookies.
This adherence to U.S. GAAP (Generally Accepted Accounting Principles) ensures that the financial statements are prepared using a consistent and standardized framework. This allows for meaningful comparisons of Crave Cookies' financial performance over different periods and with other companies in the franchise industry. It also provides a level of assurance to potential franchisees that the financial information presented is reliable and has been audited by independent accountants.
The independent auditors also state that their audit was conducted in accordance with auditing standards generally accepted in the United States of America (GAAS). This means that the auditors followed specific procedures and guidelines to gather sufficient and appropriate evidence to support their opinion on the financial statements. Management is responsible for preparing the financial statements in accordance with U.S. GAAP and for maintaining internal controls relevant to the preparation and fair presentation of those statements.