What was the weighted-average remaining lease term for C12 Group in 2023?
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 weighted-average remaining lease term was 1.16 years in 2023. This figure represents the average length of time remaining on the company's operating leases for office space and equipment as of the end of that year.
For a prospective C12 Group franchisee, this information provides insight into the company's lease obligations and how they manage their real estate. The relatively short lease term suggests that C12 Group may prefer shorter leases or have leases expiring soon, which could lead to changes in operating expenses related to office space.
It's also important to note that the rent expense for these leases totaled approximately $134,000 in 2023. This gives potential franchisees an idea of the scale of C12 Group's financial commitment to office space and equipment leases. Understanding these lease terms and expenses can help a franchisee assess the financial stability and operational practices of C12 Group.