What is included in the Note A Summary of Significant Accounting Policies for Christies International Real Estate?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
ar | 100,000 | 100,000 | 100,000 | | Cash at End of Year | $ 100,000 $ | 100,000 $ | 100,000 |# CHRISTIE'S INTERNATIONAL REAL ESTATE MANAGEMENT, LLC NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2024, 2023 AND 2022
Note A Summary of Significant Accounting Policies
Nature of Operations:
Christie's International Real Estate Management, LLC, (the "Company"), is a Delaware Limited Liability Company, and has a principal business address at 806 N Peoria St, Ste 100, Chicago, IL 60642. The Company was organized on October 7, 2016 ("Inception") for the purpose of providing management and support services to real estate entities. There has been no business activity from Inception through the balance sheet date, December 31, 2024, other than the initial capitalization.
Basis of Accounting:
The financial statements and accompanying notes are prepared on the accrual basis in accordance with accounting principles generally accepted in the United States of America ("US GAAP").
Use of Estimates:
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Concentrations:
The Company maintains its cash in bank deposit accounts at one financial instruction. At times, the balance may exceed federally insured limits. Accounts in the United States are guaranteed by the Federal Deposit Insurance Corporation ("FDIC") up to $250,000 for each account at each financial institution. The Company has not experienced any losses in such accounts.
Income Taxes:
As a limited liability company, the Company's taxable income or loss is allocated to the partners in accordance with the operating agreement. Therefore, no provision for income taxes has been included in the financial statements.
The Company evaluates its tax positions that have been taken or are expected to be taken on in
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 53)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, Note A, Summary of Significant Accounting Policies, includes several key elements. These are the nature of operations, basis of accounting, use of estimates, concentrations, and income taxes. The company, Christie's International Real Estate Management, LLC, is a Delaware Limited Liability Company formed on October 7, 2016, to provide management and support services to real estate entities. As of December 31, 2024, its principal business address was 806 N Peoria St, Ste 100, Chicago, IL 60642. From its inception until December 31, 2024, the company's only business activity was its initial capitalization.
The financial statements are prepared using the accrual basis and follow accounting principles generally accepted in the United States of America (US GAAP). The preparation of these financial statements requires management to make estimates and assumptions that could affect the reported amounts of assets and liabilities. Actual results could differ from these estimates.
Christie's International Real Estate maintains its cash in bank deposit accounts at one financial institution, and balances may exceed federally insured limits. Accounts in the United States are guaranteed by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 for each account at each financial institution. The company has not experienced any losses in these accounts. As a limited liability company, the company's taxable income or loss is allocated to the partners, and therefore, no provision for income taxes is included in the financial statements. The company evaluates its tax positions and will recognize future interest and penalties related to unrecognized tax benefits in income tax expense if incurred.