Are the operating lease costs for Expense Reduction Analysts franchisees estimates or actual costs?

Based on the 2025 Expense Reduction Analysts FDD, the document does not explicitly state whether the operating lease costs for franchisees are estimates or actual costs. However, it does provide information on how Expense Reduction Analysts accounts for its own operating leases.

Specifically, the FDD mentions that Expense Reduction Analysts records rent expenses under operating leases with scheduled rent increases on a straight-line basis over the life of the lease. This accounting practice results in temporary differences between the rent expense and the scheduled rent payments, which are recorded as deferred rent in the accompanying balance sheets and reversed over time. The FDD also states that operating leases are included in right-of-use assets and lease liability in the consolidated balance sheets.

While this information pertains to how Expense Reduction Analysts handles its leases, it does not directly address whether the lease costs presented to franchisees are estimates or actual figures. A prospective franchisee should seek clarification from Expense Reduction Analysts regarding the nature of the operating lease costs provided in the FDD or other disclosure documents. Understanding whether these costs are estimates or actual figures is crucial for accurate financial planning and assessing the overall investment required to start and operate an Expense Reduction Analysts franchise.