What was the reported value of Black Bear Diner's accounts receivable in 2022?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
UNTING POLICIES
Nature of Business: BBDI LLC (the Company) franchises restaurants under the Black Bear Diner brand. The Company provides marketing strategies, organizational expertise, and site acquisition support for franchised restaurants and restaurants under common control. The Company's principal market is in the western United States of America. The following table provides additional information about the Companyowned and franchised restaurants operating as of December 27, 2023 and December 28, 2022:
| 2023 | 2022 | |
|---|---|---|
| Franchised restaurants | 91 | 88 |
| Company-owned restaurants | 65 | 65 |
| Total | 156 | 153 |
The Company-owned restaurants are operated by Bear Tracks Holdings LLC (BTH), an entity under common control with the Company. The Company and BTH are owned by BBD Opco LLC (Parent). BBD Opco LLC is owned by BBD Intermediate Holdco, LLC (Intermediate) and for which Intermediate is ultimately owned by BBD Holdco LLC (Holdco).
The Company also operates a national advertising fund (NAF) which administers national, regional, and local advertising and marketing initiatives for the brand. The Company receives funds from Black Bear Diner branded restaurants approximating 1.00% of revenue. The Company physically segregates these funds to ensure that the funds are utilized specifically for advertising and other brand development initiatives as defined in the respective franchise agreements. From time to time, the Company utilizes the funds received from franchisees for advertising purposes as reimbursement of its costs, including salaries and other internal costs of administering the NAF. The reimbursements totaled $118,881 and $110,240 for the years ended December 27, 2023 and December 28, 2022, respectively, and are netted within payroll and benefits expenses on the statements of income. The production costs of advertising are expensed when the advertisements are first aired or displayed. All other advertising and promotional costs are expensed in the period incurred.
Use of Estimates: The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities a
Source: Item 23 — RECEIPT (FDD pages 56–243)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the provided excerpts do not contain the specific value of Black Bear Diner's accounts receivable for 2022. The excerpts focus on the company structure, advertising fund management, use of estimates in financial statements, and fiscal year definitions. They also include lists of franchisees and information on the marketing fund.
While the excerpts detail how the advertising fund is managed, including reimbursements and accounting practices, they do not provide a balance sheet or specific figures for assets like accounts receivable. The excerpts mention that the preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities. This suggests that accounts receivable are considered in their financial reporting, but the actual value is not disclosed in these excerpts.
A prospective franchisee would need to consult the complete 2025 FDD or request additional financial statements from Black Bear Diner to obtain the accounts receivable value for 2022. Understanding this figure would help a franchisee assess the financial health and stability of the franchisor.