What was the net value of Craters & Freighters' Property and Equipment as of December 31, 2024?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
| As of December 31, | 2024 | 2023 |
|---|---|---|
| Property and Equipment - At Cost: | ||
| Office Equipment | 102,860 | 80,613 |
| Furniture and Fixtures | 19,863 | 19,863 |
| Leasehold Improvements | 11,415 | 11,415 |
| Vehicles | 202,688 | 202,688 |
| 336,826 | 314,579 | |
| Less: Accumulated Depreciation | (175,649) | (133,628 |
| Property and Equipment - Net | 161,177 | 180,951 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, the net value of their Property and Equipment as of December 31, 2024, was $161,177. This figure is calculated by subtracting accumulated depreciation ($175,649) from the total cost of property and equipment ($336,826).
For a prospective franchisee, this indicates the level of investment Craters & Freighters itself has in its own physical assets. It's important to note that these assets include office equipment, furniture and fixtures, leasehold improvements, and vehicles. The depreciation reflects the decrease in value of these assets over time.
Reviewing the change in net property and equipment from 2023 ($180,951) to 2024 ($161,177) could provide insights into Craters & Freighters' capital expenditure and asset management strategies. A decrease in net value might suggest higher depreciation, disposal of assets, or lower investment in new equipment during 2024. Franchisees should consider these trends in the context of their own potential investment in similar assets for their franchise location.