Which wholly-owned subsidiaries are included in the consolidated financial statements for Golden Krust Caribbean Restaurant?

According to the 2024 Franchise Disclosure Document, the consolidated financial statements for Golden Krust Caribbean Restaurant include the accounts of the company and its wholly-owned subsidiaries. These subsidiaries are Golden Krust Caribbean Restaurants, Inc. (formerly GKB National Inc.), GK Blue Hills Boston, Inc., and GK Hartford, Inc. All material intercompany accounts and transactions are eliminated during the consolidation process.

For a prospective franchisee, this means that the financial performance of these specific subsidiaries is combined with that of the parent company, Golden Krust Franchising, Inc., to provide a comprehensive view of the organization's overall financial health. Understanding the performance of company-owned restaurants (GK Blue Hills Boston, Inc. and GK Hartford, Inc.) can give franchisees insight into the operational aspects of the business model. Note that the GK Blue Hills Boston, Inc. location was closed in June 2023.

The inclusion of these subsidiaries in the consolidated statements provides transparency into the financial structure of Golden Krust Caribbean Restaurant. Reviewing these consolidated statements can help a potential franchisee assess the financial stability and performance trends of the overall organization, which is crucial for making an informed investment decision. It is important to note that the financial statements are prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America.