Does the Degree Wellness FDD include three years of audited financial statements?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
Attached to this Franchise Disclosure Document as Exhibit G are:
Degree Wellness Franchise, LLC's audited balance sheets as of December 31, 2024, and the related statements of income, retained earnings, and of cash flow for the years then ended. We have not been in business for three years or more and cannot include all the financial statements required by the Rule
Our fiscal year end is December 31. The Franchisor has not been in business for three years or more, and cannot include all financial statements required by the FTC Franchise Rule.
Source: Item 21 — Financial Statements (FDD page 66)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, the document does not include three years of audited financial statements. The FDD includes Degree Wellness Franchise, LLC's audited balance sheets as of December 31, 2024, and the related statements of income, retained earnings, and cash flow for the years then ended.
The reason Degree Wellness does not include three years of financial statements is because the company has not been in business for three years or more. The document states that because of this, Degree Wellness cannot include all the financial statements required by the Rule.
Prospective franchisees should be aware that the limited financial history may make it more difficult to assess the financial stability and performance of Degree Wellness. It is important to carefully review the provided financial statements and consider seeking professional financial advice before making any investment decisions. Franchisees may also want to ask for more information to get a better understanding of the company's financial standing.