What was the change in deposits for Gold Star in 2023?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
| Years Ended December 31, | |||
|---|---|---|---|
| 2024 2023 | (Restated) | ||
| Deposits | 1 43,766 1 0,156 | (239,834) |
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the deposits account changed in 2023. The deposits were $143,766 in 2024 and $10,156 in 2023. This represents an increase of $133,610 in deposits from 2023 to 2024. In 2022, the deposits were listed as negative $239,834. This represents an increase of $249,990 in deposits from 2022 to 2023.
Deposits can include security deposits for leases, utility deposits, or other prepaid expenses. These are considered assets on the balance sheet. The fluctuation in deposits from year to year can be due to various factors, such as changes in lease agreements, utility usage, or other business activities requiring deposits.
A prospective Gold Star franchisee should investigate the reasons behind these changes to understand the underlying business activities and potential financial implications. Understanding the nature of these deposits and their impact on cash flow is crucial for financial planning and risk assessment.
It is important to note that these figures are based on the provided financial statements and may not reflect the entire financial picture of Gold Star. A thorough review of the complete financial statements and consultation with a financial advisor are recommended for making informed investment decisions.