What was the depreciation expense for Chem Dry for the year ended December 31, 2021?

According to Chem Dry's 2024 Franchise Disclosure Document, the depreciation expense for the years ended December 31, 2023, 2022, and 2021 was $591, $490, and $443, respectively. This indicates that the depreciation expense for Chem Dry for the year ended December 31, 2021, was $443.

Depreciation expense represents the allocation of the cost of tangible assets, like equipment and vehicles, over their useful lives. A higher depreciation expense in a given year can reduce the company's net income, while lower depreciation expense can increase it. Reviewing these figures over multiple years, as presented in the FDD, provides insight into Chem Dry's asset management and capital expenditure strategies.

For a prospective Chem Dry franchisee, understanding depreciation expense is crucial for assessing the financial health and stability of the franchisor. It can also provide a basis for comparison against other franchise opportunities or industry benchmarks. While this information is at the consolidated level, it is important for franchisees to understand how these expenses are handled at the franchisor level, as it can impact the services and support they receive.