As of what date are the audited financial statements for Churchs Chicken included in this FDD?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
s well as the age of the accounts receivable, current market conditions and reasonable forecasts.
At December 31, 2023 and December 25, 2022, accounts receivable that were presented on the consolidated balance sheets were net of allowances for doubtful accounts of $1.1 million and $1.3 million, respectively. The Company does not
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 67)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, the audited financial statements include data up to December 31, 2023, and December 25, 2022. Specifically, the document references accounts receivable net of allowances for doubtful accounts as of these dates. At December 31, 2023, the accounts receivable were net of allowances for doubtful accounts of $1.1 million, while at December 25, 2022, they were net of $1.3 million.
This information is relevant to potential franchisees as it provides a snapshot of the financial health and accounting practices of Churchs Chicken. The figures related to doubtful accounts can indicate the credit risk associated with franchisees' payments of royalties, rents, and other fees. A higher allowance for doubtful accounts might suggest a greater risk of franchisees not meeting their financial obligations.
Prospective franchisees should consider these figures in the context of overall financial performance and trends. It's important to review the complete audited financial statements for a comprehensive understanding of Churchs Chicken's financial condition. Understanding these financial details can help a franchisee assess the stability and potential risks associated with investing in a Churchs Chicken franchise.