Question
Answer
AUSTRALIA
If your entity has existed for more than 2 years, you are required to provide:
- Statement of solvency, as at the end of the last financial year reflecting your financial position and that in your opinion there are reasonable grounds to believe you will be able to pay your debts as and when they fall due; and
- Profit & loss and balance sheets for each of the last 2 completed financial years in accordance with sections 295 to 297 of the Corporations Act 2001 OR an Independent audit report by a registered auditor to verify the Statement of solvency.
If your entity has NOT existed for more than 2 years, you are required to provide:
- Statutory declaration of the entity’s solvency, that you are able to pay your debts as and when they fall due; and
- Independent audit report by a registered auditor to verify the Statutory declaration of the entity’s solvency.
If your entity was INSOLVENT in either or both of the last 2 years, you are required to provide:
- Statement of the period during which the entity was insolvent; and
- Statutory declaration of the entity’s solvency; and
- Independent audit report by a registered auditor to verify the Statement of the period during with the entity was insolvent.
Note: Templates of the State of solvency and Statutory declaration of the entity’s solvency are available on the Franchisor Website.
New Zealand Requirements
NEW ZEALAND
- Viability statement reflecting your financial position and that in your opinion there are reasonable grounds to believe you will be able to pay its debts as and when they fall due (this not applicable if an independent audit report supporting the Franchisor Financial Data Certificate is supplied) OR an Franchisor Certificate
- Franchisor Financial Data Certificate
Note: The Franchisor Certificate is incorporate in the Disclosure Document when generated from FMS and the templates of the Franchisor Financial Data Certificate is available on the Franchisor Website.