Until what date were subsequent events evaluated for Spray Net's financial statements?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
The Company evaluates events that have occurred after the balance sheet date but before the financial statements are issued. Based upon the evaluation, the Company did not identify any recognized or non-recognized subsequent events that would have required further adjustment or disclosure in the financial statements. Subsequent events were evaluated though April 4, 2025 at which the financial statements were available to be issued.
Source: Item 23 — RECEIPTS (FDD pages 75–219)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, the company evaluated events that occurred after the balance sheet date, but before the financial statements were issued. This evaluation extended through April 4, 2025. At that point, the financial statements were available to be issued.
This means that Spray Net's financial statements for the fiscal years 2022, 2023, and 2024 take into account any events that could materially impact the company's financial position up to April 4, 2025. These events, known as subsequent events, could include things like a major lawsuit, a significant acquisition, or a large loss of revenue.
For a prospective franchisee, this date is important because it provides assurance that the financial information presented in the FDD is as up-to-date as possible. It indicates that Spray Net has taken steps to ensure the accuracy and reliability of its financial reporting by considering events that occurred after the close of the fiscal year but before the statements were finalized.