What was the Total Stockholder's Equity for Counselor Realty as of December 31, 2022?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
December 31, 2024, 2023 and 2022
| Common Stock | Additional Paid-in | Retained | Total Stockholder's | ||
|---|---|---|---|---|---|
| Shares | Amount | Capital | Earnings | Equity | |
| Balances, December 31, 2021 | 10,000 | $ 100 | $ 47,209 | $ 156,849 | $ 204,158 |
| 2022 net income | - | - | - | 11,780 | 11,780 |
| Balances, December 31, 2022 | 10,000 | 100 | 47,209 | 168,629 | 215,938 |
| 2023 net loss | - | - | - | (8,873) | (8,873) |
| Balances, December 31, 2023 | 10,000 | 100 | 47,209 | 159,756 | 207,065 |
| 2024 net loss | - | - | - | (3,967) | (3,967) |
| Balances, December 31, 2024 | 10,000 | $ 100 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, the total stockholder's equity as of December 31, 2022, was $215,938. This figure represents the sum of common stock, additional paid-in capital, and retained earnings. The common stock consisted of 10,000 shares with a total value of $100, additional paid-in capital was $47,209, and retained earnings amounted to $168,629.
Stockholder's equity is a key indicator of a company's financial health, representing the owners' stake in the company's assets after deducting liabilities. A higher equity amount generally suggests a stronger financial position. For a prospective Counselor Realty franchisee, this information provides insight into the financial stability of the franchisor.
It's important to note that the stockholder's equity can fluctuate from year to year based on the company's profitability and other financial activities. In 2022, Counselor Realty had a net income of $11,780, which contributed to the increase in retained earnings and, consequently, the total stockholder's equity. Reviewing these figures over several years, as presented in the FDD, can give a more comprehensive understanding of the franchisor's financial trends.
Prospective franchisees should analyze these financial statements carefully and consider consulting with a financial advisor to assess the overall financial health and stability of Counselor Realty before making an investment decision. Understanding the franchisor's financial position is crucial for evaluating the potential risks and rewards of investing in a franchise.