What was the deficit for Bb.Q Chicken as of the date of the financial statement?

The Company operates as a Franchisor of B.B.Q Chicken. Franchise revenues principally consist of royalties, as well as marketing fees, which are primarily based on a percentage of franchise revenue. Franchise revenue also includes initial franchise fees, which are recognized as revenue when a substantial performance of franchisor obligation is complete, which is generally when a franchised unit is opened. The principal business address of the Company is 2134 North Central Road, Fort Lee, NJ 07024.

BBDOTQUSA KTOWN, INC. commenced operation in the State of New York on November 24, 2016, as a full-service restaurant.

BBDOTQUSA MIDTOWN, INC. commenced operation in the State of New York on August 15, 2022, as a full-service restaurant.

BBDOTQUSA ENGLEWOOD INC. commenced operation in the State of New Jersey on May 05, 2023, as a limited-service restaurant.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation:

The consolidated financial statements include the accounts of the Company and all subsidiaries, which are more than 50 percent owned or certain "variable interest entities" under accounting principles generally accepted in the United States of America. Inter-company items and transactions between companies included in the consolidation are eliminated, and unrealized inter-company profits in inventory and other assets are to be eliminated.

Notes to Consolidated Financial Statements December 31, 2024 and 2023

Basis of presentation:

The accompanying financial statements have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America (US" GAAP").

Use of Estimates:

Source: Item 23 — RECEIPTS (FDD pages 62–283)