What were the franchise and license fees for Focus Cfo in the earlier of the two years presented?

According to Focus Cfo's 2025 Franchise Disclosure Document, as of December 31, 2023, the company had unearned franchise and license fees of $136,800. This represents the total amount of initial franchise and license fees that Focus Cfo had collected from franchisees and licensees but had not yet recognized as revenue.

The FDD states that Focus Cfo recognizes revenue from the sale of a franchise or license in two stages: the initial training program and ongoing support. The training fee is recognized once the training program has been provided, while the initial franchise/license fee is recognized as revenue over the ten-year term of the agreement. Therefore, the unearned franchise and license fees represent the portion of the initial fees related to ongoing support that has not yet been recognized as revenue.

For a prospective Focus Cfo franchisee, this information provides insight into the company's revenue recognition practices and the amount of deferred revenue on its balance sheet. It indicates that Focus Cfo spreads out the recognition of initial franchise and license fees over the duration of the franchise or license agreement, which is a common practice in the franchise industry. This deferred revenue represents a future obligation of Focus Cfo to provide ongoing support to its franchisees and licensees.