What was the reported value of prepaid commissions for 360 Painting as of December 31, 2023?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
ts of Andy on Call, LLC for an aggregate net purchase price of $150,000. The transaction was funded by cash on hand. Andy on Call is a home improvement and handyman franchising company and has been acquired to allow for the expansion of House Doctors.
4. Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consisted of the following as of December 31, 2023 a
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 prepaid commissions as of December 31, 2023, was $985,918. This figure represents commissions that Premium Service Brands, LLC, the parent company of 360 Painting, has paid in advance but have not yet been earned or recognized as expenses on their financial statements.
For a prospective 360 Painting franchisee, this number provides insight into the financial obligations and practices of the parent company. Prepaid commissions could relate to various aspects of the business, such as commissions paid to sales agents for securing new franchise agreements or other services.
The prepaid commissions balance is subject to change and can be influenced by factors such as the timing of commission payments, the rate at which services are rendered, and accounting policies. Reviewing these figures over several years, as presented in the table, can reveal trends and potential insights into the company's financial management and sales strategies. It is important to note that these are consolidated figures for Premium Service Brands, LLC, and not solely for 360 Painting.