What was the reported value of Checkersrallys' net property and equipment?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fair value of stock consideration Current assets Cash and cash equivalents Accounts and notes receivable, net Inventory Prepaid expenses Other current assets | $ 97,819 17,613 5,828 3,105 3,690 1,600 |
|---|---|
| Total current assets | 31,836 |
| Property and equipment, net | 26,300 |
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 is detailed within the financial statements. As of the provided date, Checkersrallys reported its net property and equipment at $26.3 million. This figure represents the value of the company's physical assets, such as buildings, equipment, and leasehold improvements, after accounting for accumulated depreciation.
For a prospective franchisee, understanding the net property and equipment value can offer insights into the capital intensity of Checkersrallys's operations. A higher value may indicate significant investments in physical infrastructure, which could translate to higher initial and ongoing capital expenditures for franchisees. Conversely, a lower value might suggest a less capital-intensive model, potentially reducing the financial burden on franchisees.
It's important to note that this figure is a snapshot in time and can fluctuate due to factors such as new investments, depreciation, and asset disposals. Franchisees should review the complete financial statements and related notes in Checkersrallys's FDD to gain a comprehensive understanding of the company's asset base and financial performance. Additionally, prospective franchisees should inquire about any planned capital expenditures or changes in accounting policies that could impact the value of property and equipment in the future.