How many common shares were issued by Exit in 2024?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
------|-----------------------------------| | Revenues recognized over time: | | | | | Franchise sales and renewals | $ 374,466 |
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, in 2024, Exit issued 100 common shares. The par value of these shares is $0.07. The total value of these shares issued in 2024 was $7.
This indicates the company's capitalization structure and the value assigned to its shares. For a prospective franchisee, this information provides insight into the company's equity structure and how it is financed. Understanding the share structure can be important when evaluating the financial stability and potential future growth of the franchise.
It's worth noting that the document also mentions that Exit had net capital deficiencies in 2024, 2023, and 2022, and bank overdrafts in 2024 and 2023. While the issuance of common shares is a standard practice, the presence of capital deficiencies and overdrafts suggests that Exit has faced financial challenges. However, the company projects that its 2025 budgeted operations will be sufficient to fund its operations and meet its obligations.