What were Buff City Soap's total assets as of December 31, 2023, in thousands of dollars?
Buff_City_Soap Franchise · 2025 FDDAnswer from 2025 FDD Document
-related matters that we identified during the audit.
Dallas, Texas April 29, 2025
Buff City Soap Franchising, LLC Balance Sheets December 29, 2024 and December 31, 2023
| (amounts in thousands) | December 29, 2024 | December 31, 2023 |
|---|---|---|
| Assets | ||
| Current assets | ||
| Cash and cash equivalents | $ 5,312 | $ 4,394 |
| Accounts receivable, net | 1,886 | 2,453 |
| Contract fees receivable, net | - | 288 |
| Prepaid expenses and other current assets | 244 | 812 |
| Total current assets | 7,442 | 7,947 |
| Contract acquisition costs, net | 1,204 | 1,407 |
| Total assets | $ 8,646 | $ 9,354 |
| Liabilities and Member's Deficit | ||
| Current liabilities | ||
| Accounts payable and accrued liabilities | $ 948 | $ 484 |
| Accrued compensation | 224 | 265 |
| Accrued commissions | 191 | 191 |
| Current portion of deferred revenue | 756 | 828 |
| Total current liabilities | 2,119 | 1,768 |
| Deferred revenue, net of current portion | 9,932 | 11,739 |
| Total liabilities | 12,051 | 13,507 |
| Commitments and contingencies (see Note 5) | ||
| Member's defic |
Source: Item 6 — , Securities Offering Fee, in the amount column is revised to state the following: (FDD pages 216–303)
What This Means (2025 FDD)
According to Buff City Soap's 2025 Franchise Disclosure Document, the company's total assets as of December 31, 2023, were $9,354,000. This figure is presented in thousands of dollars in the balance sheets. The balance sheets also include data from December 29, 2024, for comparison. These figures are based on generally accepted accounting principles in the United States of America.
For a prospective franchisee, understanding the franchisor's financial health is crucial. The total assets figure provides insight into the company's resources and its ability to meet its financial obligations. A higher asset value generally indicates a stronger financial position. However, it's important to consider this figure in conjunction with the company's liabilities and overall financial performance.
In addition to total assets, the balance sheet provides a breakdown of current assets, such as cash and cash equivalents, accounts receivable, and prepaid expenses. It also details contract acquisition costs. Reviewing these components can offer a more granular understanding of the company's asset composition. Liabilities, including accounts payable, accrued liabilities, and deferred revenue, are also listed, which should be considered alongside the asset values to assess the company's overall financial stability.
It is important to note that these financial statements pertain specifically to Buff City Soap Franchising, LLC, which is a subsidiary of Buff City Soap Holdings, LLC. The financial condition of the parent company could also impact the franchise system. Prospective franchisees should consult with a financial advisor to fully understand the implications of these financial statements.