When do $1.9 million of Bw Premier Collection's foreign NOLs expire?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
such assets are not more likely than not to occur.
As of November 30, 2024, the Company has foreign NOL carryforwards of $15.5 million and U.S. FTC carryforwards of $0.6 million. Of the $15.5 million in foreign NOLs, $1.9 million is subject to expiration beginning in 2029, while the remaining $13.6 million is not subject to expiration and will carry forward indefinitely. The FTC carryforwards were generated in the years ended November 30, 2019, and 2020, in the amounts of $0.2 million and $0.4 million, respectively, and will expire in the ye
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to Bw Premier Collection's 2025 Franchise Disclosure Document, as of November 30, 2024, the company had $15.5 million in foreign Net Operating Loss (NOL) carryforwards. Of this amount, $1.9 million is subject to expiration beginning in 2029. The remaining $13.6 million is not subject to expiration and will carry forward indefinitely.
For a prospective Bw Premier Collection franchisee, this information is relevant in understanding the company's financial health and tax strategies. NOL carryforwards can be used to offset future taxable income, potentially reducing the company's tax liabilities. The fact that a portion of these NOLs is set to expire in 2029 may influence the company's financial decisions in the coming years.
The indefinite carryforward of the larger portion ($13.6 million) provides more long-term financial flexibility for Bw Premier Collection. Franchisees should be aware of these tax assets and how they might impact the company's overall financial performance and stability. Understanding the company's approach to managing its tax liabilities can offer insights into its financial planning and risk management practices.