What was the amount of depreciation for Fast Fix Jewelry And Watch Repairs in 2024?
Fast_Fix_Jewelry_And_Watch_Repairs Franchise · 2025 FDDAnswer from 2025 FDD Document
| - | 2024 | 2023 | |
|---|---|---|---|
| Furniture and equipment | $ | 360,375 $ | 349,533 |
| Leasehold improvements | 174,281 534,656 | 174,281 523,814 | |
| Less accumulated depreciation |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 37)
What This Means (2025 FDD)
According to Fast Fix Jewelry And Watch Repairs's 2025 Franchise Disclosure Document, the depreciation expense for the year ending December 31, 2024, was approximately $77,000. In the preceding year, 2023, the depreciation expense was approximately $78,000. This indicates a slight decrease in depreciation expenses from 2023 to 2024.
Depreciation is an accounting method used to allocate the cost of a tangible asset over its useful life. For a Fast Fix Jewelry And Watch Repairs franchisee, understanding depreciation is important for managing their business's finances. It affects the franchisee's net income and tax liabilities. Common depreciable assets for a franchisee might include furniture, equipment, and leasehold improvements.
The FDD also includes a table showing the breakdown of furniture and equipment, leasehold improvements, and accumulated depreciation for 2024 and 2023. The accumulated depreciation was ($349,517) in 2024 and ($272,958) in 2023. The depreciation and amortization under operating activities was $693,840 in 2024 and $695,347 in 2023.
Prospective franchisees should consult with a financial advisor to understand how depreciation will impact their specific financial situation and tax obligations. Reviewing these figures in the FDD can help potential franchisees project their expenses and profitability more accurately.