Who must prepare the annual balance sheets for a Learningrx franchise?

According to Learningrx's 2025 Franchise Disclosure Document, franchisees must have balance sheets prepared at least annually by an independent Certified Public Accountant (CPA). This requirement ensures that the financial records are accurate, reliable, and conform to standard accounting practices.

Having an independent CPA prepare the balance sheets provides an unbiased view of the Learningrx center's financial position. This is important not only for the franchisee to understand their business's financial health but also for Learningrx to evaluate the overall performance and stability of its franchise network. The CPA's involvement adds credibility to the financial reporting, which can be beneficial for securing loans or attracting potential investors.

This requirement is a common practice in franchising, as it helps maintain consistency and transparency across all franchise locations. Franchisees should factor in the cost of hiring an independent CPA when budgeting for their ongoing operational expenses. Failing to comply with this requirement could potentially lead to issues with Learningrx, as maintaining accurate and reliable financial records is crucial for the franchise agreement.