What was the total value of Brightstar Care's total assets as of December 31, 2023?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
| ------------------- | -- | -- |
|---|
Consolidated Balance Sheets
| December 31, 2023 | January 1, 2023 | |
|---|---|---|
| Assets | ||
| Current Assets Cash and cash equivalents Accounts receivable, net of allowances for credit losses of $213,282 and $309,337, respectively | $ 267,218 5,986,114 | $ 16,868 5,170,910 |
| Prepaid expenses | 1,782,560 | 888,291 |
| Inventory | - | 74,793 |
| Other current assets | 435,628 | 724,829 |
| Total Current Assets | 8,471,520 | 6,875,691 |
| Property and Equipment, Net | 8,551,823 | 7,605,214 |
| Other Long-Term Assets Operating lease - right-of-use asset Notes receivable - affiliated companies | 137,232 7,2 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 117)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the company's total assets as of December 31, 2023, amounted to $24,448,204. This figure represents the sum of Brightstar Care's current assets, property and equipment, and other long-term assets at that specific point in time. Current assets, which are assets expected to be converted to cash within a year, totaled $8,471,520. Property and equipment, net of depreciation, were valued at $8,551,823. Other long-term assets, including operating lease right-of-use assets and notes receivable from affiliated companies, totaled $7,424,861.
A prospective Brightstar Care franchisee should understand the composition of these assets, as they reflect the financial health and operational scale of the franchisor. The notes receivable from affiliated companies, amounting to $7,287,629, represent a significant portion of the other long-term assets. This indicates financial relationships between Brightstar Care and its related entities, which could impact the franchisor's financial stability and resource allocation.
It's important to note that the FDD also provides comparative figures from January 1, 2023, showing total assets of $30,346,609. This indicates a decrease in total assets over the course of the year. A potential franchisee should investigate the reasons for this decrease to assess whether it reflects a temporary fluctuation or a more concerning trend in Brightstar Care's financial performance. Understanding the reasons behind changes in asset values can provide valuable insights into the franchisor's financial management and strategic decisions.
Franchisees should also consider these asset figures in relation to Brightstar Care's liabilities and equity. As of December 31, 2023, total liabilities were $8,407,409, and total member's equity was $16,040,795. Analyzing the relationship between assets, liabilities, and equity provides a more comprehensive view of Brightstar Care's financial position and its ability to meet its obligations and support its franchisees.