What was the total amount of members' equity for 1 800 Packouts as of December 3, 2021?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
expressing an opinion on the\neffectiveness of the Company's internal control. Accordingly, no such opinion is expressed.
- Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.
Tanner LLC
April 30, 2023
| As of December 3: | ||||
|---|---|---|---|---|
| 2022 | 2021 | |||
| Assets | ||||
| Current assets: | ||||
| Cash | $ | 3,760,121 | $ | 1,614,389 |
| Restricted cash | 543,616 | 439,024 | ||
| Accounts receivable, net of an allowance for doubtful accounts | ||||
| of $58,660 and $32,710, respectively | 2,360,599 | 907,535 | ||
| Current portion of contract assets | 1,350,919 | 169,463 | ||
| Prepaid and other current assets | 792,682 | 33,886 | ||
| Total current assets | 8,807,937 | 3,164,297 | ||
| Goodwill, net | 63,918,327 | 39,262,725 | ||
| Intangible assets, net | 54,137,918 | 33,635,333 | ||
| Investment in unconsolidated subsidiary | - | 597,537 | ||
| Contract assets, net of current portion | 9,616,933 | 379,746 | ||
| Operating lease right-of-use asset | 1,153,787 | - | ||
| Other assets | _ | 703,934 | 293,037 | |
| Total assets | $ | 138,338,836 | $ | 77,332,675 |
| Liabilities and Members' Equity | ||||
| Current liabilities: | ||||
| Accounts payable | 602,708 | $ | 333,610 | |
Source: Item 23 — RECEIPT (FDD pages 67–238)
What This Means (2025 FDD)
According to 1 800 Packouts's 2025 Franchise Disclosure Document, the total members' equity as of December 3, 2021, was $41,408,385.
Members' equity represents the ownership stake of the members in 1 800 Packouts. It is the residual value of assets after deducting liabilities. This figure provides a snapshot of the company's net worth at that specific point in time.
For a prospective franchisee, understanding the trend in members' equity can be valuable. A consistently growing members' equity might indicate financial stability and successful management. However, it's essential to consider this figure in conjunction with other financial metrics and industry benchmarks to gain a comprehensive understanding of 1 800 Packouts's financial health.