What was the depreciation expense for Brain Balance property and equipment in 2023?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
| Margaret Ford, CEO | 1320 North Route 59, Unit 110, Naperville, IL 60563 | (844) 751-1717 | |
|---|---|---|---|
| Michael Miller, COO | 1320 North Route 59, Unit 110, Naperville, IL 60563 | (844) 751-1717 |
**Dec
Source: Item 23 — RECEIPTS (FDD pages 72–292)
What This Means (2025 FDD)
According to Brain Balance's 2025 Franchise Disclosure Document, the depreciation expense for the years 2024, 2023, and 2022 was $0, $3,315, and $17,479, respectively. This indicates that in 2023, Brain Balance recorded a depreciation expense of $3,315 related to its property and equipment.
Depreciation is an accounting method used to allocate the cost of tangible assets, like property and equipment, over their useful lives. For a Brain Balance franchisee, understanding depreciation is important for managing their center's finances and tax obligations. The FDD also states that Brain Balance uses the straight-line method for computing depreciation and amortization. This means the cost of the asset is evenly spread out over its useful life.
It's also important to note that the FDD mentions that Brain Balance's parent company provides funds for operational needs. This affiliation could impact the company's financial results, and prospective franchisees should consider this when reviewing the financial statements. Additionally, the FDD highlights that the preparation of financial statements requires management to make estimates and assumptions, and actual results could differ from those estimates.