Do the Fat Shack financial statements cover a period longer than two years?

According to Fat Shack's 2025 Franchise Disclosure Document, the financial statements included in the document are audited and cover a period longer than two years. Specifically, the auditor's report indicates that the financial statements comprise the balance sheets as of December 31, 2024, 2023, and 2022, along with related statements of operations, changes in stockholders' equity, and cash flows for the years then ended. This means prospective Fat Shack franchisees can review three years of the company's financial performance.

The inclusion of three years of financial data provides a more comprehensive view of Fat Shack's financial health and trends compared to the more typical practice of presenting only two years of data. This allows potential investors to assess the company's performance over a longer period, identify potential growth patterns, and evaluate the consistency of its financial results.

By examining these statements, prospective Fat Shack franchisees can gain insights into the company's revenues, expenses, profitability, and cash flow generation. This information can be valuable in assessing the overall financial stability of the franchisor and making informed decisions about investing in a Fat Shack franchise. The auditor's opinion also provides assurance that the financial statements are presented fairly and in accordance with generally accepted accounting principles.