What kind of financial statement can a Deka Lash franchisee obtain for the Brand Development Fund?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
By making a written request to us, you may obtain an annual unaudited financial statement of the Brand Development Fund, at the expense of the Brand Development Fund, available 120 days after our fiscal year end. If we do not spend all Brand Development Fees received in a given year, we roll them over and apply them to the Brand Development Fund in the following year. We may use Brand Development Fees to pay for an independent audit of the Brand Development Fund, if we choose to have it audited.
Source: Item 23 — RECEIPT (FDD pages 63–234)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, a franchisee can obtain an annual unaudited financial statement of the Brand Development Fund. This statement is available upon written request to Deka Lash and will be provided at the expense of the Brand Development Fund.
The financial statement will be available 120 days after Deka Lash’s fiscal year end. This allows franchisees to review how the Brand Development Fund is being managed and utilized.
It's important to note that the statement is unaudited, meaning it has not been reviewed by an independent accounting firm. Deka Lash retains the option to have the Brand Development Fund audited independently, but this is not guaranteed. If the Brand Development Fees are not fully spent in a given year, Deka Lash will roll over the remaining funds into the Brand Development Fund for the subsequent year.