Are the financial statements for Dryer Vent Squad audited?

According to the 2024 Dryer Vent Squad FDD, the Brand Development Fund will be required to maintain unaudited financial records detailing its expenditures and will make available to franchisees (no more frequently than once in any 12-month period) an unaudited accounting of how the monies contributed to the Brand Development Fund were spent each year.

This means that while Dryer Vent Squad collects financial information from franchisees, the FDD does not state that the overall financial statements for the Dryer Vent Squad franchise system are audited by an independent accounting firm. Instead, the financial records for the Brand Development Fund are maintained on an unaudited basis.

Prospective franchisees should be aware that unaudited financial statements carry a higher risk of inaccuracy compared to audited statements, as they have not been subjected to independent verification. It is typical in the franchise industry for franchisors to provide audited financial statements to ensure transparency and build trust with potential franchisees. Therefore, it would be prudent for a potential Dryer Vent Squad franchisee to inquire about the availability of audited financial statements for the entire franchise system to gain a clearer picture of the company's financial health.