What was the balance at the end of 2022 for Bevaris Alliance?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
The system marketing reserve fund balance at December 31, 2023 and 2022 is $174,327 and $72,220, respectively.
The balance due at December 31, 2023 and 2022 is $5,997 and $2,924, respectively.
| 2023 | 2022 | |
|---|---|---|
| BALANCE, BEGINNING OF YEAR | $ 170 , 724 | $ 42,901 |
| CAPITAL CONTRIBUTIONS | _ | |
| SHAREHOLDER DISTRIBUTIONS | ( 197) | ( 2,557) |
| NET INCOME (LOSS) | _(_57,665) | 130,380 |
| BALANCE, END OF YEAR | $ 112,862 | $ 170,724 |
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, the system marketing reserve fund balance at the end of 2022 was $72,220. Additionally, the balance at the end of 2022 is listed as $170,724 in another table. The credit card balance at the end of 2022 was $2,924.
These figures reflect different aspects of Bevaris Alliance's financial standing. The system marketing reserve fund represents the funds collected from franchisees specifically for marketing and advertising purposes. The balance of $170,724 reflects the overall financial status, considering factors such as capital contributions, shareholder distributions, and net income or loss. The credit card balance indicates the amount owed on the company's credit card.
A prospective franchisee should pay close attention to these balances as they provide insight into the financial health and marketing capabilities of Bevaris Alliance. A healthy marketing reserve fund suggests that the franchisor has sufficient resources to support the franchise system's growth through advertising and promotional activities. The credit card balance is a small portion of the overall financial picture, but could indicate how the company manages its short-term debt.
It is important to review these figures in the context of the complete financial statements and to understand how Bevaris Alliance manages its finances. Comparing these balances with those of other franchise systems can also provide a benchmark for evaluating the financial stability of Bevaris Alliance.