What was the deferred revenue at the end of 2023 for Bor Restoration?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
ments.
- 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 to 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.
JDS Professional Group
March 26, 2024
Balance Sheets
As Of December 31, 2023, 2022, and 2021
Page -3-
| 2023 | 2022 | 2021 | |
|---|---|---|---|
| ASSETS | |||
| Current Assets: | |||
| Cash | $ 3,134,133 | $ 513,933 | $ 204,415 |
| Accounts receivable | 245,645 | 105,281 | 71,657 |
| Prepaid expenses | 3,029 | 2,688 | 119,713 |
| Total Current Assets | 3,382,807 | 621,902 | 395,785 |
| Non-current Assets: | |||
| Right-of-use asset, net of accumulated | |||
| amortization of $99,445 and $46,569, respectively | 26,827 | 79,703 | |
| Other assets | 55,422 | 32,246 | 18,218 |
| Total Non-current Assets | 82,249 | 111,949 | 18,218 |
| TOTAL ASSETS | $ 3,465,056 | $ 733,851 | $ 414,003 |
| LIABILITIES AND OWNER'S EQUITY | |||
| Current Liabilities: | |||
| A |
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the deferred revenue as of December 31, 2023, was $138,552. Deferred revenue represents payments Bor Restoration has received for services or products that have not yet been delivered or earned. This is a liability on the balance sheet because Bor Restoration owes services or products to its customers.
For a prospective Bor Restoration franchisee, understanding deferred revenue is crucial. It reflects the financial obligations Bor Restoration has to its customers for future services. The changes in deferred revenue from year to year can indicate the company's sales performance and how well it is securing future business. An increase in deferred revenue typically suggests strong sales and customer demand, while a decrease might signal challenges in securing new contracts or retaining existing customers.
In 2023, Bor Restoration's deferred revenue was $138,552. This figure is important for potential franchisees to consider as it provides insight into the company's financial health and its ability to meet future obligations. Reviewing these figures over several years, as presented in the table, can offer a more comprehensive understanding of Bor Restoration's financial trends and stability. This information, combined with other financial metrics, can help potential franchisees make informed decisions about investing in a Bor Restoration franchise.