Section R. 445.511 - Consolidated and separate statementsRule 511.
(1) When a franchisor owns, directly or beneficially, a controlling financial interest in another corporation, the financial statement required to be filed shall reflect, on a consolidated basis, the financial condition of the franchisor and each of its subsidiaries.(2) A separate financial statement shall be required for each franchisor or subfranchisor filing for registration or exemption in this state.(3) A company controlling 80% or more of a franchisor shall be required to file its financial statement for review by the administrator, and the financial statement shall not be included as part of the prospectus except as provided by R 445.512.(4) A consolidated and separate financial statement shall be prepared in accordance with generally accepted accounting principles.Mich. Admin. Code R. 445.511