What was the total balance for Apricot Lane as of December 31, 2022?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
59,242 | | Net Income (Loss) | $ 214,496 | $ 4,020 |
| Com | man Stack | Poid | l in Capital | Retained Earnings | Total | ||
|---|---|---|---|---|---|---|---|
| Polomos Dosember 21, 2022 | Common Stock | · | |||||
| Balances, December 31, 2022 | $ | 24,563 | $ | 90,000 | $ 317,039 | S | 431,602 |
| Distributions | - | - | (174,000) | (174,000) | |||
| Net Income | - | 4,020 , | 4,020 -, | ||||
| Balances, December 31, 2023 | $ | 24,563 | $ | 90,000 | $ 147,059 | $ | 261,622 |
| Distributions | - | - | - | - | |||
| Net Income | - | - | 214,496 | 214,496 |
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the total balance as of December 31, 2022, was $431,602. This figure represents the sum of common stock, capital, and retained earnings at that specific point in time. It's a snapshot of the company's overall financial position, reflecting the cumulative impact of past earnings, distributions, and capital contributions.
For a prospective Apricot Lane franchisee, this number provides insight into the financial health and stability of the franchisor. A higher total balance generally indicates a stronger financial foundation, which can be reassuring. However, it's essential to consider this figure in conjunction with other financial metrics and information provided in the FDD, such as revenue, expenses, and liabilities, to get a comprehensive understanding of the franchisor's financial performance.
It is also important to note that this balance is influenced by factors such as net income and distributions. For example, in 2022, Apricot Lane had distributions of $174,000 and a net income of $4,020. These activities directly affected the retained earnings and, consequently, the total balance. Therefore, prospective franchisees should analyze these components to understand the drivers behind the total balance and assess the franchisor's financial management practices.
Ultimately, while the total balance as of December 31, 2022, offers a glimpse into Apricot Lane's financial standing, potential franchisees should conduct thorough due diligence, including consulting with financial advisors, to evaluate the overall financial viability of the franchise opportunity.