What was the total amount of franchise fees receivable by Apricot Lane at December 31, 2023?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
- ACCOUNTS RECEIVABLE
Accounts Receivable consists of the following at December 31:
| 2024 | 2023 |
|---|
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the total amount of franchise fees receivable as of December 31, 2023, was $207,000. This figure represents the amount of franchise fees that Apricot Lane had earned but not yet received in cash as of that date.
This metric is important for prospective franchisees to understand because it provides insight into Apricot Lane's financial health and its ability to collect outstanding payments. A high amount of franchise fees receivable could indicate potential issues with franchisees' ability to pay or with Apricot Lane's collection processes.
Franchise fees receivable is a standard accounting item for franchisors. Monitoring this amount helps Apricot Lane manage its cash flow and assess the financial stability of its franchisees. Significant fluctuations in this number from year to year could signal changes in the performance of the franchise system or in the franchisor's accounting practices.
The FDD also provides the franchise fees receivable for 2024, which was $222,000. Comparing these figures over time can help potential franchisees identify trends and assess the financial stability of Apricot Lane.