With whom is the auditor required to communicate regarding the audit of Hyper Kidz?

According to Hyper Kidz's 2024 Franchise Disclosure Document, the auditor is required to communicate with those charged with governance. This communication includes the planned scope and timing of the audit. It also covers significant audit findings and certain internal control-related matters identified during the audit.

For a potential Hyper Kidz franchisee, this indicates that the audit process involves oversight by a governing body that receives direct communication from the auditor. This ensures that key stakeholders are informed about the audit's progress, findings, and any issues related to internal controls.

This communication helps maintain transparency and accountability in the financial reporting process. It also allows those charged with governance to address any concerns or weaknesses identified during the audit, which can ultimately improve the financial health and stability of the Hyper Kidz franchise system.