Do the Epcon Communities financial statements include a statement of cash flows?
Epcon_Communities Franchise · 2025 FDDAnswer from 2025 FDD Document
We have audited the accompanying consolidated financial statements of Epcon Communities Franchising, LLC and Subsidiary (the Company), which comprise the consolidated balance sheets as of December 31, 2023 and 2022, and the related consolidated statements of income and changes in member's equity and cash flows for the years then ended, and the related notes to the consolidated financial statements.
In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, 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.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 85)
What This Means (2025 FDD)
According to Epcon Communities' 2025 Franchise Disclosure Document, the consolidated financial statements include a statement of cash flows. Specifically, the Independent Auditor's Report states that the audit encompassed the consolidated balance sheets as of December 31, 2024 and 2023, the related consolidated statements of income and changes in member's equity, and cash flows for the years then ended. This indicates that a statement of cash flows is a part of Epcon Communities' financial reporting.
The inclusion of a statement of cash flows is a standard practice in financial reporting, providing insights into how Epcon Communities generates and uses cash. This statement is crucial for prospective franchisees as it offers a view of the company's liquidity and financial health. It complements the balance sheet and income statement by detailing the actual cash inflows and outflows during the specified periods.
The auditor's opinion confirms that these financial statements, including the statement of cash flows, present fairly the financial position, results of operations, and cash flows of Epcon Communities in accordance with accounting principles generally accepted in the United States of America. This provides a level of assurance to potential franchisees regarding the reliability of the financial information presented.