What were the prepaid expenses for Corner Bakery Cafe in 2023?
Corner_Bakery_Cafe Franchise · 2025 FDDAnswer from 2025 FDD Document
elated matters that we identified during the audit.
Daniel P. Balley, CPA, PC
Plano, Texas April 17, 2025
Balance Sheets As of Decemer 31, 2024 and 2023
| _ | 2024 | 2023 | ||
|---|---|---|---|---|
| ASSETS | ||||
| Current assets: | ||||
| Cash | $ | 201,021 | $ | 360,839 |
| Accounts receivable, net | 384,001 | 302,086 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 55)
What This Means (2025 FDD)
According to Corner Bakery Cafe's 2025 Franchise Disclosure Document, the company's prepaid expenses for 2023 were $10,000. This figure is part of the company's balance sheet, which provides a snapshot of its assets, liabilities, and equity at the end of the reporting period. The 2023 reporting period is defined as being from May 9, 2023 (the formation date) to December 31, 2023.
Prepaid expenses typically include items like rent, insurance, or services that Corner Bakery Cafe has paid for in advance but will use in the future. This means that Corner Bakery Cafe had already disbursed $10,000 for goods or services that would benefit the company in subsequent periods.
For a prospective franchisee, understanding the prepaid expenses can offer insights into Corner Bakery Cafe's financial management and obligations. It's a relatively small portion of the total current assets, which amounted to $1,795,389 in 2023. Monitoring these figures over time can help assess the company's financial health and stability. Prepaid expenses decreased to $4,849 in 2024.