As of December 31, 2024, what was the reported amount of receivables from affiliates for Crowne Plaza?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
nted for under the equity method of accounting. In turn, BOC holds a 6.2% interest in 111 East 48th Street Holdings LLC ("111 East 48th Street") which owns the InterContinental Barclay hotel located in New York. A wholly owned subsidiary of the Compan
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, the receivables from affiliates as of December 31, 2024, was $568,163. In comparison, the receivables from affiliates as of December 31, 2023, was $544,935.
Receivables from affiliates represent money owed to Crowne Plaza by its related companies or subsidiaries. These amounts can arise from various inter-company transactions, such as services provided, expense allocations, or other financial arrangements. Understanding the nature and terms of these receivables is important for assessing the financial health and inter-company dynamics of Crowne Plaza.
For a prospective franchisee, it's crucial to understand the details behind these related-party transactions. While the FDD provides the total amount, it does not detail the specific nature of these receivables. Therefore, a potential franchisee should inquire about the types of transactions that generate these receivables, the repayment terms, and the creditworthiness of the affiliated companies. This due diligence will help in evaluating the overall financial stability and operational relationships within the Crowne Plaza network.