What was the total member's equity for Benjamin Franklin Plumbing as of December 31, 2023?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
.
- 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
AB Assetco LLC and Subsidiaries Consolidated Balance Sheets (In thousands)
| As of December 31, | |||||
|---|---|---|---|---|---|
| 2024 | 2023 | ||||
| Assets | |||||
| Current assets | |||||
| Cash and cash equivalents | $ | 51 $ | 2,063 | ||
| Accounts receivable, net | 28,612 | 23,790 | |||
| Inventory, net | 3,078 | 2,742 | |||
| Prepaid expenses and other current assets | 6,303 | 6,362 | |||
| Total current assets | 38,044 | 34,957 | |||
| Property and equipment, net | 12,689 | 32,492 | |||
| Intangible assets, net | 362,520 | 396,713 | |||
| Goodwill, net | 240,023 | 270,017 | |||
| Other assets | 12 |
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the member's equity as of December 31, 2023, was $697,191. This figure represents the ownership stake in the company held by its members after deducting all liabilities from its assets. It is a key indicator of the company's financial health and stability.
Member's equity can fluctuate due to several factors, including contributions of assets and liabilities, stock-based compensation, distributions to the guarantor, and net income or loss. For Benjamin Franklin Plumbing, between December 31, 2022, and December 31, 2023, there were contributions of assets and liabilities amounting to $17,915, stock-based compensation of $3,817, distributions to the Guarantor totaling ($68,651), and a net income of $8,180. These activities collectively influenced the change in member's equity during that period.
Prospective franchisees should consider the trend in member's equity over time, as it provides insights into the company's profitability and financial management. A consistently growing member's equity generally indicates a healthy and well-managed franchise system. However, it's also important to investigate any significant fluctuations and understand the underlying reasons, such as large distributions or unexpected losses, to assess the potential risks and opportunities associated with investing in a Benjamin Franklin Plumbing franchise.