In the Ledgers FDD, does the restatement of the 2023 financial statements modify the auditor's opinion?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
As discussed in Note 9 to the financial statements, the 2023 financial statements have been restated to correct a misstatement. Our opinion is not modified with respect to this matter.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the restatement of the 2023 financial statements does not modify the auditor's opinion. The Independent Auditor's Report states that Ledgers' financial statements for 2024, 2023, and 2022 present fairly the financial position of Loyalty Business Services, LLC.
The report acknowledges that the 2023 financial statements were restated to correct a misstatement, as detailed in Note 9 of the financial statements. This note likely explains the reasons for and the effects of the restatement.
Despite the restatement, the auditor's opinion remains unmodified, meaning the auditors still believe the financial statements fairly represent Ledgers' financial position and results of operations in accordance with accounting principles generally accepted in the United States of America. This suggests that while the restatement was necessary to correct an error, it did not fundamentally change the auditor's overall assessment of the fairness of the financial statements.