What was the total value of Bft's retained earnings (accumulated deficit) as of December 31, 2023?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
statements.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control. Accordingly, no such opinion is expressed.
- Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
- 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.
March 14, 2025
XPOF ASSETCO, LLC CONSOLIDATED BALANCE SHEETS
(amounts in thousands)
| December 31, | ||
|---|---|---|
| 2024 | 2023 | |
| Assets | ||
| Current Assets: | ||
| Cash and cash equivalents | $ 8,593 | $ 8,000 |
| Ac |
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, as of December 31, 2023, Bft had retained earnings (accumulated deficit) of ($4,476). This figure represents the cumulative net profits or losses that Bft has retained in its business since its inception, in this case reflecting an accumulated deficit.
For a prospective franchisee, this number provides insight into Bft's financial history and profitability. An accumulated deficit suggests that, historically, Bft has experienced more losses than profits, which could be a point of concern. However, it is important to consider the context, such as how recently the franchise system was established and whether the company has made strategic investments that temporarily impact profitability.
It's also important to note that Bft's financial statements may not necessarily be indicative of the conditions that would have existed if Bft had operated without its affiliations. The Member has committed to continue to provide services to Bft for its franchising operations. A prospective franchisee should investigate the reasons behind the deficit, Bft's plans to address it, and how it might affect the franchisee's investment and ongoing operations.