As of December 31, 2022, what was the value of ROU Assets for Bath Tune Up?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
-|---------------| | 2024 | 57,206 | | 2025 | 60,016 | | 2026 | 62,929 | | 2027 | 54,647 | | | | | Lease Liability | $ 289,291 |
The following table provides additional information related to operating lease agreements for
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 51–52)
What This Means (2025 FDD)
According to Bath Tune Up's 2025 Franchise Disclosure Document, as of December 31, 2022, the value of ROU (Right-of-Use) Assets was $274,184. ROU assets represent the company's rights to use an asset for a specified period, typically related to leased properties.
For a prospective Bath Tune Up franchisee, this figure reflects the financial obligations Bath Tune Up has for its leased assets. Understanding the nature and extent of these assets can provide insight into the company's financial commitments and how it manages its lease agreements.
The FDD also notes the weighted average remaining lease term was 4.83 years and the weighted average discount rate was 2.66%. These metrics are used to calculate the present value of lease payments, which determines the value of the ROU assets. Franchisees may want to inquire about the specific assets covered under these leases and how they impact the overall financial health of Bath Tune Up.