Which subsidiaries are included in the consolidated financial statements for Expense Reduction Analysts?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
gs LTD (MICO) was created as a 100% subsidiary of MIC. MIC is the ultimate group holding company and MICO is the 100% shareholder of Evercertain Ltd.
NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation
The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries, Expense Reduction Analysts Global Insurance Consulting, Inc. (ERAGIC) and SDCo, LLC (SDCO), as well as its majority owned subsidiary, Expense Reduction Analysts Consultants, Inc. (ERAC) (the Company owns 94%). All intercompany transactions and balances have been eliminated in consolidation.
ERAGIC is a nontrading subsidiary that provides specialty support to licensees undertaking insurance and risk management pr
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts's 2025 Franchise Disclosure Document, the consolidated financial statements include the accounts of Expense Reduction Analysts, Inc. and its subsidiaries. These subsidiaries are Expense Reduction Analysts Global Insurance Consulting, Inc. (ERAGIC), SDCo, LLC (SDCO), and Expense Reduction Analysts Consultants, Inc. (ERAC). Expense Reduction Analysts owns 94% of ERAC. All intercompany transactions and balances are eliminated during consolidation.
ERAGIC is a nontrading subsidiary that offers specialized support to licensees working on insurance and risk management projects. SDCO and ERAC provide services similar to those offered by other Expense Reduction Analysts licensees. However, ERAC focuses exclusively on companies with annual gross receipts exceeding $1 billion.
For a prospective franchisee, understanding the relationship between Expense Reduction Analysts and its subsidiaries can provide insight into the overall structure and service offerings of the franchise system. The consolidated financial statements offer a comprehensive view of the financial performance of the entire organization, including these subsidiaries. This information can be valuable in assessing the financial stability and potential of the Expense Reduction Analysts franchise.