What was the member's equity amount for Floors To Go as of December 31, 2022?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
dgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.
Balance Sheets
| December 31 | |||
|---|---|---|---|
| ASSETS | |||
| Current | 2023 | 2022 | |
| assets | |||
| Cash | $ 812,308 | $ 1,679,740 | |
| Accounts | |||
| receivable, | |||
| less | |||
| allowance | |||
| for | |||
| credit | |||
| losses | 461,463 | 383,451 | |
| of | |||
| $27,615 | |||
| ($19,131 | |||
| in | |||
| 2022) | |||
| Prepaid | 3,189 | 3,189 | |
| expenses | |||
| Total | 1,276,960 | 2,066,380 | |
| current | |||
| assets | |||
| Goodwill | 50,000 | 50,000 | |
| Total | $ 1,326,960 | $ 2,116,380 | |
| assets | |||
| LIABILITIES | |||
| AND | |||
| MEMBER'S | |||
| EQUITY | |||
| Liabilities | |||
| Accounts | $ |
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
According to Floors To Go's 2025 Franchise Disclosure Document, the member's equity as of December 31, 2022, was $1,259,440. This figure represents the ownership stake in the company held by its member(s) after deducting all liabilities from its assets.
For a prospective franchisee, the member's equity can be an indicator of the financial stability and overall health of Floors To Go. A higher member's equity generally suggests a stronger financial position, which can be reassuring for individuals considering investing in a franchise. It reflects the company's ability to cover its liabilities and indicates the value attributable to the member's ownership.
However, it's important to consider this figure in conjunction with other financial metrics and information provided in the FDD, such as revenue, expenses, and cash flow statements, to gain a comprehensive understanding of Floors To Go's financial performance. Additionally, prospective franchisees should consult with financial advisors to assess the implications of the member's equity and other financial data for their investment decision.