What was the change in prepaid expenses and other current assets for Bw Premier Collection in 2023 (in thousands)?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
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Consolidated Statements of Cash Flows
| (in thousands) | 2023 | Years Ended November 30, 2022 |
|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||
| Excess of revenues over expenses | $ 89,020 | $ 87,769 |
| Adjustment |
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to Bw Premier Collection's 2025 Franchise Disclosure Document, the change in prepaid expenses and other current assets from 2022 to 2023 can be found in the cash flows from operating activities. In 2023, prepaid expenses and other current assets decreased by $741,000, while in 2022, they decreased by $2,473,000.
This decrease in prepaid expenses and other current assets indicates how Bw Premier Collection managed its operational cash flow during these periods. Prepaid expenses typically include items like insurance, software, and advertising costs that are paid in advance. A decrease in this area could mean the company is becoming more efficient in managing these expenses or that there have been changes in payment schedules or service agreements.
For a prospective franchisee, monitoring these changes in current assets can provide insights into the financial management practices of Bw Premier Collection. It is important to understand the reasons behind these fluctuations, as they can reflect changes in operational strategies or vendor relationships. Further due diligence and clarification from the franchisor can help a franchisee better assess the financial health and stability of the franchise system.