What was the total amount of accounts receivable for Clean Your Dirty Face in 2024?

According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, the total accounts receivable for 2024 was $26,198. This figure represents the amount of money owed to Clean Your Dirty Face by its customers or franchisees for services rendered or royalties due but not yet paid as of the end of the fiscal year. Accounts receivable are considered a current asset, reflecting their short-term nature and expectation of collection within a year.

For a prospective Clean Your Dirty Face franchisee, understanding the accounts receivable balance can provide insights into the financial health and revenue collection efficiency of the franchisor. A stable or growing accounts receivable balance might indicate increasing sales, but it could also signal potential issues with timely payments from franchisees. Monitoring this trend over time, as the FDD provides data for both 2024 and 2023, can help assess the franchisor's financial management and the payment behavior of its franchisees.

It's important to note that Clean Your Dirty Face's accounting policies, as detailed in the notes to the financial statements, state that accounts receivable primarily consist of royalty revenue based on a percentage of franchisees' monthly gross sales. These receivables are typically collected the month following the month in which the royalties are earned. Additionally, Clean Your Dirty Face management has determined that an allowance for credit losses related to accounts receivable is not material to the financial statements, setting it at $0 for both 2024 and 2023, suggesting they consider the risk of uncollectible accounts to be low.