Are the Spray Net financial statements consolidated?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
To the Stockholders of Spray-Net, Inc.
Opinion
We have audited the financial statements of Spray-Net, Inc., which comprises the balance sheet as of December 31, 2024, 2023 and 2022 and the related statement of operations, and changes in stockholders' equity, and cash flows for the years then ended, and the related notes to the financial statements.
In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the financial position of Spray-Net, Inc. as of December 31, 2024, 2023 and 2022, and the results of its operations and its cash flows for the years then ended, in accordance with accounting principles generally accepted in the United States of America.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 75)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, the Independent Auditor's Report states that the auditor has audited the financial statements of Spray-Net, Inc. The report references the balance sheet as of December 31, 2024, 2023 and 2022, and the related statement of operations, changes in stockholders' equity, and cash flows for the years then ended, and the related notes to the financial statements.
The auditor's opinion is that the financial statements present fairly, in all material respects, the financial position of Spray-Net, Inc. as of December 31, 2024, 2023 and 2022, and the results of its operations and its cash flows for the years then ended, in accordance with accounting principles generally accepted in the United States of America.
Based on this wording, the financial statements presented in the FDD are for Spray-Net Inc. only, and are not described as consolidated statements that would include the financial results of any subsidiaries or affiliated entities. A prospective franchisee should confirm with Spray Net whether consolidated financial statements exist and can be reviewed.