What was the total amount of Customer Deposits held by Chicken Guy in 2024?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
sed and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
July 2, 2025 Winter Park, Florida
DECEMBER 29, 2024, DECEMBER 31, 2023, AND DECEMBER 25, 2022 BALANCE SHEETS CHICKEN GUY (FRANCHISOR), LLC
ASSETS
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Current Assets | |||
| Cash | $ 256 | $ 1,405 | $ 18,762 |
| Royalty Receivables, Net | 127,714 | 237,320 | 42,689 |
| Due from Related Parties | 2,618,604 | 1,895,776 | 1,577,037 |
| Total Current Assets | 2,746,574 | 2,134,501 | 1,638,488 |
| Restricted Cash |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, the company held $55,000 in customer deposits as of December 29, 2024. Customer deposits are payments received in advance from potential future franchisees and are subject to cancellation and refund provisions. This indicates the amount of money Chicken Guy has received from prospective franchisees who have not yet opened a location.
For a potential franchisee, this figure provides insight into the financial interactions between Chicken Guy and its future franchisees. It is important to understand the terms and conditions under which these deposits are held and under what circumstances they might be refunded. The decrease in customer deposits from $95,000 in 2023 to $55,000 in 2024 could indicate a change in the rate of new franchisees joining the system, or a change in the deposit amounts required.
It would be prudent for a prospective Chicken Guy franchisee to inquire about the typical deposit amount, the refund policy, and the timeline for converting a deposit into a signed franchise agreement. Understanding these details can help in assessing the financial health of the franchise system and the commitment level of other potential franchisees.