What was the net value of property and equipment for Benjamin Franklin Plumbing as of December 31, 2024?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
ficant accounting estimates made by management, as well as evaluate the overall presentation of the consolidated financial statements.
- x Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
April 2, 2025
Authority Brands Inc. and Subsidiaries Consolidated Balance Sheets (In thousands)
| | As of December 31, | | | | |--------------------------------------------------
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the net value of property and equipment as of December 31, 2024, was $34,635. This figure represents the depreciated value of assets like buildings, software, vehicles, office equipment, and land owned by the company. In comparison, the net value of property and equipment as of December 31, 2023, was $56,407.
This decrease in net property and equipment value from 2023 to 2024 could be due to several factors, such as increased depreciation, the sale of assets, or a reduction in capital expenditures on new equipment. For a prospective franchisee, this information provides insight into the tangible assets held by Benjamin Franklin Plumbing and how these assets have changed year over year. It is important to note that these figures reflect the financial position of the franchisor, not necessarily the financial status or required investments of an individual franchisee.
A potential franchisee should consider this information in the context of the overall financial health of Benjamin Franklin Plumbing. While the specific assets required for a franchise location may vary, understanding the franchisor's asset management practices can be beneficial. Further due diligence, including a review of the complete financial statements and discussions with existing franchisees, is recommended to gain a comprehensive understanding of the financial aspects of investing in a Benjamin Franklin Plumbing franchise.
It is also worth noting that the FDD includes a separate table that provides a different valuation of property and equipment, net. According to that table, the net value of property and equipment as of December 31, 2024, was $12,689, and as of December 31, 2023, it was $32,492. This discrepancy suggests that the FDD may contain financial information for different entities or segments within the Benjamin Franklin Plumbing franchise system. A prospective franchisee should seek clarification from the franchisor to understand the differences in these figures and which is most relevant to their investment.