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What were Aw's total assets at the end of 2022?

Aw Franchise · 2025 FDD

Answer from 2025 FDD Document

during the audit.

Muhammad Zubairy, CPA PC Westbury, NY June 6, 2024

BALANCE SHEETS RAYYAN PIZZA FRANCHISE LLC

ASSETS
YEARS ENDED DECEMBER 31
2023 2022
Assets
Cash

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)

What This Means (2025 FDD)

According to Aw's 2025 Franchise Disclosure Document, the company's total assets at the end of 2022 were $86,289. This figure represents the sum of Aw's cash, amounts due from franchisees, and amounts due from related parties as of December 31, 2022.

For a prospective franchisee, understanding the franchisor's asset position can provide insights into the financial health and stability of the company. Higher asset values can indicate a stronger financial foundation, which may translate to better support and resources for franchisees. However, it is essential to consider the composition of these assets. For Aw, a significant portion of the assets is 'Due from related parties,' which totaled $51,502 in both 2022 and 2023.

'Due from related parties' refers to money owed to Aw by entities related to it, which may not be as readily available as cash. A prospective franchisee should investigate the nature of these related-party transactions and assess the creditworthiness of those related parties. Additionally, the franchisee should monitor the trend of total assets over time. Aw's total assets decreased from $86,289 in 2022 to $64,044 in 2023 and further to $59,996 in 2024. This downward trend could be a point of concern, warranting further inquiry into the reasons for the decline and its potential impact on the 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.