What was the total amount of prepaid expenses for Batteries Plus Bulbs in 2023?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Current assets | |||
|---|---|---|---|
| Cash and cash equivalents | $ 10,716 | $ 26,197 | |
| Accounts receivable, net | 29,858 | 25,763 | |
| Merchandise inventories, net | 56,393 | 48,576 | |
| Prepaid expenses | 4,426 | 4,665 | |
| Due from marketing fund | 668 | 1,034 | |
| Total current assets | 102,061 | 106,235 |
Source: Item 23 — Receipts (FDD pages 80–279)
What This Means (2025 FDD)
According to Batteries Plus Bulbs' 2025 Franchise Disclosure Document, the company's prepaid expenses totaled $4,665 in 2023. Prepaid expenses are payments made in advance for goods or services that will be received in the future. For a Batteries Plus Bulbs franchisee, this could include items like prepaid rent, insurance premiums, or software subscriptions.
Understanding the level of prepaid expenses can be useful for a prospective franchisee in assessing the company's financial health and how it manages its obligations. Prepaid expenses are considered assets on the balance sheet because they represent future economic benefits for Batteries Plus Bulbs.
It's important to note that prepaid expenses can fluctuate from year to year based on the timing of payments and the company's operational needs. While $4,665 was the figure for 2023, the FDD shows that prepaid expenses were $4,426 in 2024. Reviewing these figures over several years can provide a more comprehensive understanding of this aspect of Batteries Plus Bulbs' financial management.