factual

What were the gross accounts receivable balances for Alloy as of December 31, 2022?

Alloy Franchise · 2025 FDD

Answer from 2025 FDD Document

ANCES (CONTINUED)**

Disaggregated revenues (continued)

Revenues by timing of recognition were as follows:

| FRANCHISOR: | | DE

Source: Item 23 — RECEIPTS (FDD pages 69–245)

What This Means (2025 FDD)

According to Alloy's 2025 Franchise Disclosure Document, the gross accounts receivable balance as of December 31, 2022, was $145,277. This figure represents the total amount of money owed to Alloy by its customers or franchisees for services rendered or products sold on credit. Accounts receivable are considered current assets on Alloy's balance sheet, reflecting amounts expected to be collected within a year.

Franchisees should understand that accounts receivable are a normal part of business operations, especially in a franchise system where franchisees may have payment terms. Monitoring these balances is crucial for assessing the financial health and operational efficiency of Alloy. A high or increasing accounts receivable balance could indicate potential issues with collection processes or franchisee financial stability, which could ultimately affect Alloy's cash flow and profitability.

Potential franchisees should consider this figure in conjunction with other financial metrics provided in the FDD, such as revenue, expenses, and liabilities, to gain a comprehensive understanding of Alloy's financial position. It is also advisable to inquire about Alloy's credit and collection policies and procedures to assess the risk associated with accounts receivable. Understanding these aspects can help franchisees evaluate the overall financial stability and management practices of the Alloy franchise system.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.