Can you imagine that there are 23 Items in the Franchise Disclosure Document (FDD). We are closing in on the end covering all the Items, and we are now covering Item 21 which is the financial statements of the franchisor in general.
The most important part about this Item is that there are two sets of financial statements that are covered in this particular item of the FDD: one is the statement of cash flows or the income statement for the last three years, and the balance sheet for that same franchisor for the last two years.
So Why Are the Franchisor's Financial Statements Important?
So a lot of times when you look at them, you're going to see big numbers. Remember, this is not a franchisee. This is not like a one-franchise location type of thing, this is the franchisor with multiple locations under it. So it's not like ...
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