What judgment must be made regarding Healthsource Chiropractic, LLC's ability to continue as a going concern?

According to HealthSource Chiropractic's 2025 Franchise Disclosure Document, management is required to evaluate whether there are conditions or events that raise substantial doubt about HealthSource Chiropractic, LLC's ability to continue as a going concern within one year after the date that the financial statements are available to be issued. This evaluation is a standard accounting practice to ensure the company's financial viability is assessed and disclosed.

This assessment is crucial for prospective franchisees because it provides insight into the financial stability of HealthSource Chiropractic. If there are doubts about the company's ability to continue operating, it could impact the support and services they provide to franchisees. It also speaks to the long-term viability of the franchise system itself.

The evaluation is performed in accordance with accounting principles generally accepted in the United States of America. This means that HealthSource Chiropractic's management must adhere to specific guidelines and standards when assessing the company's financial health and its ability to meet its obligations in the near future. The results of this evaluation are included in the financial statements, which are audited by an independent auditor.