What was the increase (decrease) in deferred revenue for Cr3 American Exteriors in 2024?
Cr3_American_Exteriors Franchise · 2025 FDDAnswer from 2025 FDD Document
Loss | (46,591) | | Equity at December 31, 2022 | $ 4,820 | | Equity at January 1, 2023 | $ 4,820 | | Capital Contributions | 28,589 | | Net Loss | (14,538) | | Equity at December 31, 2023 | $ 18,871 | | Equity at January 1, 2024 | $ 18,871 | | Capital Contributions | 30,000 | | Net Loss | 89,667 | | Equity at December 31, 2024 | $ 138,538 |
Statements of Cash Flows For The Three Years Ended December 31, 2024
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Cash Flows From Operating Activities: | · | ||
| Net Income (Loss) | $ 89,667 | $ (14,538) | $ (46,591) |
| Adjustments to Reconcile Net Loss to Net | |||
| Cash Provided by Operating Activities: | |||
| Depreciation & Amortization | 87 | 87 | 29 |
| Changes in Assets and Liabi |
Source: Item 23 — RECEIPTS (FDD pages 53–150)
What This Means (2025 FDD)
According to Cr3 American Exteriors' 2025 Franchise Disclosure Document, there was an increase in deferred revenue from 2023 to 2024. In 2024, the increase in deferred revenue was $307,113, while in 2023, the increase was $32,375. This means that the deferred revenue increased by $274,738 from 2023 to 2024.
Deferred revenue typically represents payments a company has received for goods or services that have not yet been provided. For a Cr3 American Exteriors franchisee, this could relate to payments received for roofing or remodeling services that are scheduled to be performed in the future. The increase in deferred revenue suggests that Cr3 American Exteriors is receiving more advance payments, which could be a positive indicator of future business activity.
However, franchisees should also consider that deferred revenue represents a future obligation to provide services. Managing these obligations and ensuring timely service delivery is crucial. A significant increase in deferred revenue could strain resources if not managed effectively. Prospective franchisees should inquire about Cr3 American Exteriors' strategies for managing deferred revenue and ensuring customer satisfaction.