What was the total value of Bb.Q Chicken's contract assets in 2024?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| ASSETS | 2024 | 2023 | |
|---|---|---|---|
| CURRENT ASSETS | |||
| Cash & cash equivalents (Note 2) | $2,390,828 | $ 1,999,340 | |
| Accounts receivable - net (Note 2) | 6,584,742 | 4,519,578 | |
| Due from parent | 2,016,520 | - | |
| Inventory - net (Note 2) | 5,708,945 | 6,786,479 | |
| Prepaid expenses (Note 4) | 249,676 | 78,218 | |
| Interest receivable | 30,919 | 19,041 | |
| Other receivables | 523,601 | 325,306 | |
| Contract assets | 140,000 | - | |
| Right of assets - short-term | 1,064,364 | 927,000 | |
| Total Current Assets | 18,709,596 | 14,654,962 |
Source: Item 23 — RECEIPTS (FDD pages 62–283)
What This Means (2025 FDD)
According to Bb.Q Chicken's 2025 Franchise Disclosure Document, the company's contract assets totaled $140,000 in 2024. This figure represents the value of Bb.Q Chicken's rights to receive future economic benefits from contracts it holds as of December 31, 2024.
For a prospective franchisee, understanding the franchisor's asset values can provide insight into the financial health and stability of the company. Contract assets, in particular, reflect the anticipated revenue from existing agreements, which can be a key indicator of future income. This information, combined with other financial metrics, can help potential franchisees assess the overall risk and potential reward of investing in a Bb.Q Chicken franchise.
It's important to note that this figure is a snapshot in time and can fluctuate based on various factors, including new contracts, changes in existing agreements, and overall economic conditions. Reviewing these figures over several years, if available, can provide a more comprehensive understanding of the franchisor's financial trends. Additionally, prospective franchisees should consult with a financial advisor to fully understand the implications of these assets and how they relate to the franchise opportunity.