What were the accrued commissions for Corcoran as of December 31, 2024?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
| December 31, | ||
|---|---|---|
| Accrued payroll and related employee costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | $ 170 $ 158 | |
| Advances from clients . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 24 29 | |
| Accrued volume incentives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 27 28 | |
| Accrued commissions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 41 34 | |
| Restructuring accruals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 9 14 | |
| Deferred income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 45 53 | |
| Accrued interest . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 36 34 | |
| Current portion of finance lease liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | ||
| Due to former parent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 40 38 | |
| Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | 154 176 | |
| Total accrued expenses and other current liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . | $ 553 $ 573 |
Source: Item 23 — RECEIPTS (FDD pages 75–276)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, the company's accrued commissions as of December 31, 2024, were $41 million. This figure represents the amount of commission expenses that Corcoran had incurred but not yet paid out as of that date.
For a prospective franchisee, understanding accrued commissions is crucial as it reflects Corcoran's financial obligations related to sales activities. Accrued commissions are a liability on the balance sheet, indicating money owed to sales agents or brokers for completed transactions. This liability can fluctuate based on sales volume and commission structures.
It's important to note that this figure is just one component of Corcoran's overall financial health. A potential franchisee should review the complete financial statements, including the balance sheets and income statements, to gain a comprehensive understanding of the company's financial position and performance. Analyzing trends in accrued commissions over time, alongside other financial metrics, can provide valuable insights into the stability and profitability of the Corcoran franchise system.