Are the Dermani Medspa financial statements pro forma or actual?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
To the Member of dermani MEDSPA Franchising, LLC Windermere, Florida
Opinion
We have audited the accompanying financial statements of dermani MEDSPA Franchising, LLC, which comprise the balance sheet as of December 31, 2024, and the related statements of operations and changes in member's deficit 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 dermani MEDSPA 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 audit 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 dermani MEDSPA Franchising, LLC and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. 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 66)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, the financial statements provided are actual, not pro forma. This is supported by the inclusion of an Independent Auditor's Report which states that the auditor has audited the accompanying financial statements of Dermani Medspa Franchising, LLC, including the balance sheet as of December 31, 2024, and related statements. The auditor's opinion confirms that the financial statements present fairly the financial position, results of operations, and cash flows of Dermani Medspa Franchising, LLC for the year then ended, in accordance with accounting principles generally accepted in the United States of America.
The presence of an independent auditor's report indicates that the financial statements have been examined and verified by an external accounting firm. This process adds credibility to the financial statements, as the auditor is responsible for expressing an unbiased opinion on whether the statements are fairly presented. The audit was conducted in accordance with auditing standards generally accepted in the United States of America (GAAS), ensuring that the audit was performed with professional care and skepticism.
For a prospective Dermani Medspa franchisee, this means they are reviewing historical financial data that has been vetted by an independent third party. This provides a degree of confidence in the accuracy and reliability of the financial information. Franchisees can use this information to assess the financial health and performance of Dermani Medspa Franchising, LLC, which can inform their decision-making process regarding whether to invest in a franchise. It is important to note that while the audited financial statements provide valuable information, they represent past performance and are not a guarantee of future results.