What was the net equipment value for Boulder Designs in 2023?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
ess 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.
Jugare, Resonaire, Boyd o Thomas . I.C.
Balance Sheets
December 31, 2024 and 2023
| 2024 | 2023 | |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash | $ 97,522 | 151 |
| Franchise fees receivable, net | 397,028 | 553,156 |
| Inventory | 143,358 | 133,159 |
| Deferred costs | 67,562 | 87,322 |
| Total current assets | 705,470 | 773,788 |
| Equipment | 183,787 | 174,927 |
| Less: accumulated depreciation | 125,062 | (99,331) |
| Equipment, net | 58,725 | 75,596 |
| Other assets: | ||
| Deferred costs, excluding current portion | 158,796 | 214,248 |
| Other receivables | 4,500 | 1,568 |
| Acquired franchise agreements, net | 563,824 | 576,824 |
| Total assets | $1,491,315 | 1,642,024 |
| Liabiliti |
Source: Item 23 — RECEIPT (FDD pages 50–217)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the net equipment value for 2023 was $75,596. This figure represents the value of Boulder Designs' equipment after accounting for accumulated depreciation. The initial equipment value was $174,927, but after subtracting the accumulated depreciation of $99,331, the net value is $75,596.
For a prospective franchisee, this indicates the level of investment Boulder Designs has in its physical assets and how those assets are depreciating over time. Equipment is stated at cost, and depreciation is calculated using the straight-line method over the estimated useful lives of the assets. This depreciation method evenly distributes the cost of the asset over its useful life.
Understanding the net equipment value can help a franchisee assess the financial health and stability of Boulder Designs. It also provides insight into how the company manages its assets and accounts for depreciation, which can be useful for financial planning and forecasting. Reviewing these figures over several years, as presented in the FDD, can reveal trends in Boulder Designs' capital investments and asset management strategies.