What was the reported value of Goodwill for Browns Chicken in 2023?
Browns_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Attached hereto as Exhibit A is Brown's audited balance sheet as of December 31, 2024, December 31, 2023, and December 31, 2022, and the Statement of Operations, Statement of Changes in Members' Equity, and Statement of Cash Flows for the years then ended.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the financial statements for Browns Chicken do not explicitly list a value for "Goodwill" on the provided balance sheets or statements of operations for the year 2023. While the balance sheets for December 31, 2024 and 2023 are mentioned as being audited, the specific line items and values within those statements are not detailed in the provided excerpts.
As a prospective franchisee, it is important to understand the components of Browns Chicken's assets and liabilities, including intangible assets like goodwill. Goodwill typically arises from acquisitions when the purchase price exceeds the fair value of identifiable net assets acquired. Its presence and valuation can reflect the brand's strength and market position.
To obtain the specific value of Goodwill for Browns Chicken in 2023, a prospective franchisee should carefully review the complete audited financial statements included as Exhibit A in the FDD. If the value is not explicitly stated, it may be included in a more general category of intangible assets, or detailed in the notes to the financial statements. If it is still unclear, it is advisable to directly ask the franchisor for clarification on the Goodwill value and how it is accounted for in their financial reporting.