What was the reported value of notes receivable for 360 Painting in 2022?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
----|-----------------| | Acquisition of Rooterman | 739,207 | | Contingent consideration of House Doctors | 33,819 | | Impairment of Renew Crew | (169,724) | | Balance at December 31, 2022 | $ 5,433,689 | | Acquisition of Window Gang | 1,635,000
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, the value of notes receivable in 2022 was $74,460. Notes receivable represent the balance of money due to 360 Painting. These are considered assets on the company's balance sheet. The FDD also shows the notes receivable for 2023 was $34,628.
For a prospective franchisee, understanding the notes receivable can provide insight into the financial health and lending practices of 360 Painting. A high value of notes receivable might indicate that 360 Painting is actively involved in financing arrangements with franchisees or other parties. It could also reflect the creditworthiness of those who owe money to 360 Painting.
However, it's important to note that the value of notes receivable can fluctuate from year to year, as seen by the decrease from 2022 to 2023. This could be due to various factors, such as changes in lending policies, economic conditions, or the repayment behavior of debtors. A potential franchisee should investigate the reasons behind these fluctuations to assess the associated risks and opportunities.