What were the accrued expenses for Fast Fix Jewelry And Watch Repairs in 2022?
Fast_Fix_Jewelry_And_Watch_Repairs Franchise · 2025 FDDAnswer from 2025 FDD Document
e to state income taxes, net operating loss carrybacks, and goodwill amortization that is deemed non-deductible for tax reporting purposes.
Note 9. Related-Party Transactions
The Company has a management services agreement with the majority member of the Company. The member serves as an advisor and provides management services to the Company. Management fees were approximately $252,000 and $177,000 for the years ended December 31, 2023 and 2022, respectively. There
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 37)
What This Means (2025 FDD)
According to Fast Fix Jewelry And Watch Repairs' 2025 Franchise Disclosure Document, unpaid management fees included in accrued expenses on the consolidated balance sheets were approximately $386,000 as of December 31, 2022. This figure represents the amount of management fees that Fast Fix Jewelry And Watch Repairs owed to its majority member for advisory and management services provided during that year but had not yet paid out by the end of the fiscal year. The management fees themselves totaled approximately $177,000 for the year ended December 31, 2022.
For a prospective franchisee, this indicates that Fast Fix Jewelry And Watch Repairs has ongoing financial obligations to its management, which are reflected in its accrued expenses. Accrued expenses are liabilities that have been incurred but not yet paid. The fact that a significant portion of accrued expenses relates to management fees suggests the importance of the relationship between Fast Fix Jewelry And Watch Repairs and its management team.
It's important to note that this figure only represents unpaid management fees included within accrued expenses. The FDD does not provide a total figure for all accrued expenses. A potential franchisee should review the complete financial statements within the FDD and consider consulting with a financial advisor to fully understand the financial health and obligations of Fast Fix Jewelry And Watch Repairs.