For Bens Soft Pretzels, what is the accounts receivable balance as of December 31, 2024?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
ted highly liquid investments with an initial maturity of three months or less to be cash equivalents.
Accounts receivable
The Company's accounts receivable consists primarily of amounts due from franchisees for royalties, ad fund fees, and gift card sales. Management periodically reviews the accounts receivables aging and records an allowance for credit losses for any accounts that are expected to be uncollectible based on current economic conditions, history with the franchise owner, and overall performance of its bakeries. Once all attempts to collect have been exhausted, Management writes the balance off against the allowance. As of December 31, 2024, 2023, and 2022, the balance of the allowance for credit losses was $20,000, $0, and $0, respectively. For the years ended Decemb
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 46)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the accounts receivable balance for Bens Soft Pretzels as of December 31, 2024, is not explicitly stated. However, the FDD does provide some context regarding accounts receivable. It indicates that the company's accounts receivable primarily consists of amounts due from franchisees for royalties, ad fund fees, and gift card sales.
The FDD mentions that Bens Soft Pretzels management periodically reviews the accounts receivables aging and records an allowance for credit losses for any accounts that are expected to be uncollectible. As of December 31, 2024, the balance of the allowance for credit losses was $20,000. For the year ended December 31, 2024, credit loss expense related to accounts receivable totaled $28,204.
While the specific accounts receivable balance is not provided, prospective franchisees can infer that Bens Soft Pretzels actively manages its receivables and accounts for potential losses. To obtain the exact accounts receivable balance, a prospective franchisee should consider asking Bens Soft Pretzels for the specific figure and further details on their accounts receivable management practices during the due diligence process.