Does the Punch King Fitness FDD include financial statements?

Yes, the 2024 Punch King Fitness FDD includes financial statements. The FDD includes an Independent Auditor's Report, which contains the auditor's opinion regarding the financial statements of Punch King Fitness, Inc. The auditor states that they have audited the balance sheet as of December 31, 2023, and the related statements of income and retained earnings and cash flows for the year then ended. The auditor's opinion is that the financial statements present fairly the financial position of Punch King Fitness, Inc. as of December 31, 2023, and the results of its operations and its cash flows for the year then ended, in accordance with accounting principles generally accepted in the United States of America.

The FDD also includes an Independent Auditor's Report with an opinion on the financial statements as of December 31, 2022. The auditor states that the financial statements present fairly, in all material respects, the financial position of Punch King Fitness, Inc. as of December 31, 2022, and the results of its operations and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.

However, the FDD also states that because the franchisor has not been in business for three years or more, it cannot include all financial statements required. It also contains a disclaimer that the financial statements included are prepared without an audit, and prospective franchisees should be aware that no certified public accountant has audited these figures or expressed an opinion regarding their content or form. This statement appears to contradict the inclusion of the Independent Auditor's Report, so prospective franchisees should seek clarification from Punch King Fitness regarding the audited status and completeness of the financial statements.