What is the auditor's opinion on the financial statements of Crawlspace Medic?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
To the Member of CSM Franchise Group, LLC
REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS
Opinion
We have audited the financial statements of CSM Franchise Group, LLC (the "Company"), which comprise the balance sheets as of December 31, 2023, 2022, and 2021, the related statements of operations and changes in member's equity, and cash flows for the years 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 the Company as of December 31, 2023, 2022, and 2021, and the results of its operations and its cash flows for the years 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 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.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, the independent auditor's report indicates a favorable opinion on the company's financial statements. The auditor, using auditing standards generally accepted in the United States of America, has audited the balance sheets as of December 31, 2023, 2022, and 2021, along with the related statements of operations, changes in member's equity, and cash flows for the years then ended, and the related notes to the financial statements.
The auditor's opinion is that the accompanying financial statements present fairly, in all material respects, the financial position of Crawlspace Medic as of December 31, 2023, 2022, and 2021. This opinion also extends to the results of its operations and its cash flows for the years then ended, all in accordance with accounting principles generally accepted in the United States of America.
This "unqualified opinion" is the best outcome of a financial audit. It means the auditor believes the financial statements are fairly presented and free of material misstatements. For a prospective franchisee, this suggests that Crawlspace Medic's financial records are reliable and transparent, which can instill confidence in the financial stability of the franchise system.