What were the prepaid incremental franchise costs for Expense Reduction Analysts in 2023?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
d scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.
CliftonLarsonAllen LLP
Clifton Larson Allen LLP
Milwaukee, Wisconsin April 18, 2024
| 2023 | (restated) 2022 | |||
|---|---|---|---|---|
| ASSETS | - | |||
| CURRENT ASSETS | ||||
| Cash and Cash Equivalents | $ | 1,251,718 | $ | 1,144,589 |
| Accounts Receivable, Net | 444,102 | 186,685 | ||
| Prepaid Expenses | 85,996 | 65,844 | ||
| Prepaid Incremental Franchise Costs | 393,234 | 309,426 | ||
| Prepaid Taxes | 235,161 | 10000 | ||
| Due from Related Parties | 1,005,148 | 857,412 | ||
| Total Current Assets | 3,415,359 | 2,563,956 | ||
| PROPERTY AND EQUIPMENT, Net | 18,770 | 15,541 | ||
| INTERNAL-USE SOFTWARE, Net | 129,805 | 101,234 | ||
| OTHER ASSETS | ||||
| Prepaid Incremental Franchise Costs, Noncurrent Portion | 2,464,230 | 1,977,024 | ||
| Operating Right-of-Use Asset, Net |
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, the prepaid incremental franchise costs for 2023 are detailed in the balance sheets. These costs are separated into current and noncurrent portions, reflecting their expected realization timeframe. The current portion represents costs expected to be utilized within one year, while the noncurrent portion covers costs that will benefit the franchise beyond the coming year.
Specifically, the current portion of prepaid incremental franchise costs for Expense Reduction Analysts in 2023 was $393,234. This figure represents the costs that Expense Reduction Analysts expected to utilize or recognize as expenses within the next year.
Additionally, the noncurrent portion of prepaid incremental franchise costs for 2023 was $2,464,230. This amount reflects the long-term investments or expenses that Expense Reduction Analysts has already paid for but will recognize over a period longer than one year. These prepaid costs are part of the assets listed on the balance sheet, indicating their future economic benefit to the company.