What were the total other assets for Expense Reduction Analysts in 2024?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
g 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 9, 2025
| 2024 | 2023 | |||
|---|---|---|---|---|
| ASSETS | ||||
| CURRENT ASSETS | ||||
| Cash and Cash Equivalents | $ | 2,213,765 | $ | 1,251,718 |
| Accounts Receivable, Net | , | 371,963 | 444,102 | |
| Prepaid Expenses | 82,365 | 85,996 | ||
| Prepaid Incremental Franchise Costs | 475,881 | 393,234 | ||
| Prepaid Taxes | 192,835 | 235,161 | ||
| Due from Related Parties | 1,031,474 | 1,005,148 | ||
| Total Current Assets | 4,368,283 | 3,415,359 | ||
| PROPERTY AND EQUIPMENT, Net | 30,278 | 18,770 | ||
| INTERNAL-USE SOFTWARE, Net | 157,857 | 129,805 | ||
| OTHER ACCETS | ||||
| OTHER ASSETS Prepaid Incremental Franchise Costs, Noncurrent Portion | 3,034,623 | 2,464,230 | ||
| Operating Right-of-Use Asset, Net | 164,045 | 2,404,230 | ||
| Deposits |
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts's 2025 Franchise Disclosure Document, the company's total other assets in 2024 amounted to $9,018,957. This figure is comprised of several components, including prepaid incremental franchise costs (noncurrent portion) at $3,034,623, an operating right-of-use asset (net) valued at $164,045, deposits of $5,398, a deferred tax asset listed as $0, and intangible assets (net) totaling $5,814,891.
For a prospective Expense Reduction Analysts franchisee, understanding the composition of these 'other assets' is crucial. A significant portion is tied to prepaid franchise costs, which likely represent fees paid upfront for the rights to operate the franchise over a specified period. The operating right-of-use asset reflects the value of leased properties or equipment used in the business. Intangible assets, the largest component, typically include items like goodwill, brand recognition, and intellectual property.
The deferred tax asset, listed as $0, could indicate that Expense Reduction Analysts did not have any deductible temporary differences or carryforwards to offset future tax liabilities in 2024. The overall value of other assets can impact the perceived financial health and stability of Expense Reduction Analysts. Franchisees may want to inquire about the specific nature of the intangible assets and the amortization schedule for the prepaid franchise costs to fully assess their implications.