What was the net value of property and equipment for Checkersrallys in the earlier financial year presented in this table?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
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NOTE 8 - PROPERTY AND EQUIPMENT, NET
Property and equipment, net consisted of the following as of December 30, 2024 (Successor) and January 1, 2024 (Successor):
| Land Leasehold and land improvements Buildings Equipment, furniture and fixtures Construction in progress | $ | 5,922 2,270 6,779 22,181 3,141 | $ 6,735 804 3,617 19,689 1,320 | 1-10 years 5-30 years 3-10 years |
|---|---|---|---|---|
| 40,293 | 32,165 | |||
| Less: accumulated depreciation | (8,614) |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the net value of property and equipment for the earlier financial year is detailed in the consolidated financial statements. Specifically, the table provides a breakdown of property and equipment, net of accumulated depreciation, for two periods. The earlier period shows the net value of property and equipment at $29,309 (in thousands).
This figure represents the book value of Checkersrallys's physical assets, such as land improvements, buildings, and equipment, after accounting for depreciation. Depreciation is the allocation of the cost of these assets over their useful lives, reflecting their wear and tear or obsolescence. The accumulated depreciation is subtracted from the original cost of the assets to arrive at the net value.
For a prospective Checkersrallys franchisee, this information offers insight into the company's asset base and how it values its physical assets. It's important to note that this is a historical figure and may not reflect the current value of the assets due to factors such as inflation, market conditions, and additional investments or disposals. Franchisees may want to compare these figures with industry benchmarks and assess Checkersrallys's capital expenditure plans to understand the company's investment strategy in maintaining and upgrading its facilities and equipment.