What was the approximate total rent expense for C12 Group under operating leases in 2024?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
ntive is forfeited.
The accrual for the LTIP is updated annually based on the Company's valuation. As of December 31, 2024, the balance accrued under the LTIP was $222,768.
NOTE D – OPERATING LEASES
The Company has operating leases for certain office space and equipment expiring in 2025 and 2029. The leases do not contain options to renew. Operating lease expense is recognized in operating expenses, office expenses. Rent expense under such leases totaled approximately $138,000 in 20
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, the company's rent expense under operating leases totaled approximately $138,000 in 2024. This figure reflects the cost of leasing office space and equipment used by C12 Group in its operations. In 2023, the rent expense was $134,000.
For a prospective C12 Group franchisee, understanding the franchisor's lease obligations can provide insight into the company's financial health and operational costs. While franchisees do not directly assume these specific lease obligations, the franchisor's financial stability can impact the support and services they provide to franchisees.
The document also mentions that the leases do not contain options to renew and expire in 2025 and 2029. The weighted-average remaining lease term was 2.15 years in 2024 and the weighted-average discount rate was 2.62% in 2024.