What was the balance on January 1, 2023 for Clear Pest Pros?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
,589 | | Net Accounts Receivable | $ 2,728 | $ 2,338 | $ 3,074 |
The activity in the allowance for credit losses is as follows:
| | 2024 | 2023* | |------------------------------|-----------------|---------| | Balance, January 1, | $ 973 $ | 2,990 | | Additions charged to expense | 508 | 634 | | Deductions (write-offs) | (603) | (2,651) | | Balance, December 31, | $ 878 $ | 973 | * As disclosed in Note 4, the Company adopted ASU 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments in 2023.
6. Inventory
Inventory consists of equipment, cleaning supplies, chemicals, and mixed cleaning solutions.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 67)
What This Means (2025 FDD)
According to Clear Pest Pros' 2025 Franchise Disclosure Document, one table provides a balance of $2,990 on January 1, 2023. The table also lists additions charged to expense and deductions (write-offs) for 2023. Another table provides a balance of $1,746 on January 1, 2023, along with additions charged to expense and deductions (write-offs).
It is important to note that the FDD includes multiple financial statements and tables, and without further context, it is difficult to determine which balance is most relevant to a prospective franchisee. The different balances likely pertain to different specific accounts or categories within Clear Pest Pros' financials.
A prospective franchisee should ask Clear Pest Pros for clarification on which specific balance is being referenced and what it represents within the company's overall financial picture. Understanding the context of each balance is crucial for making an informed investment decision.