According to Engel & Volkers's 2025 Franchise Disclosure Document, the company's deficit as of December 31, 2023, was approximately $13.59 million. This figure is derived from the consolidated statements of changes in shareholders' equity. It reflects the accumulated losses and other comprehensive losses that have not been offset by earnings over the company's history. The deficit is a key indicator of the company's financial health and its ability to cover its liabilities with its assets.

For a prospective Engel & Volkers franchisee, this deficit figure is important because it provides insight into the financial stability of the franchisor. A significant deficit might raise concerns about the franchisor's ability to support its franchisees, invest in the brand, or even remain in business long-term. While a deficit doesn't automatically mean the company is failing, it does warrant careful consideration and further investigation.

It is essential for potential franchisees to review the complete audited financial statements, including the balance sheets, income statements, and cash flow statements, to understand the context of this deficit. Analyzing trends over several years, as well as understanding the reasons behind the accumulated deficit, can provide a more comprehensive picture of the franchisor's financial situation. Prospective franchisees should also consider seeking advice from a financial advisor or franchise consultant to assess the risks and opportunities associated with investing in an Engel & Volkers franchise.