What was the beginning balance for Burger King in 2022?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
| xpiration Date | ||
|---|---|---|
| Canadian net operating loss carryforwards | $ 313 | 2036-2044 |
| Canadian capital loss carryforwards | 213 | Indefinite |
| U.S. state net operating loss carryforwards | 482 | 2025-Indefinite |
| U.S. federal net operating loss carryforwards | 97 | Indefinite |
| U.S. capital loss carryforwards | 15 | 2025 |
| U.S. foreign tax credits | 112 | 2025-2044 |
| Other foreign net operating loss carryforwards |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 109–124)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, the beginning balance for 2022 was $437. The table provided in Item 20 outlines specific financial figures related to tax positions and settlements over a three-year period. This information is part of a broader disclosure regarding the financial health and obligations of the Burger King system.
Specifically, the table details changes to the balance due to factors like tax positions, settlements, and statute expirations. For instance, there were additions for tax positions of prior years amounting to $3, while reductions for tax positions of prior years totaled $15. Additionally, reductions due to statute expiration significantly impacted the balance, accounting for a $281 decrease.
The ending balance for 2022 was $139, reflecting the net effect of these various financial activities. This detailed breakdown allows prospective franchisees to understand the types of financial adjustments that can affect Burger King's overall financial standing. Reviewing these figures can help franchisees assess the financial stability and potential liabilities associated with the franchise system.
Understanding these financial dynamics is crucial for anyone considering investing in a Burger King franchise. While the specific nature of these tax positions and settlements isn't detailed, the information provides a glimpse into the ongoing financial management and potential risks or liabilities that Burger King franchisees might encounter.