What was the amount of depreciation and amortization for Jersey Mikes in 2022?

According to Jersey Mike's 2025 Franchise Disclosure Document, amortization of services due from the manager—related party amounted to $1,015,557 for the year ended December 31, 2022. This amortization relates to assets contributed upon the closing of a Securitization Transaction and represents the expense recognized as Jersey Mike's provides services related to deferred franchise fees. These services are provided to the company for the term of the Securitization Transactions.

In addition, depreciation expense amounted to $2,318,012 for the year ended December 31, 2022. Depreciation reflects the reduction in value of tangible assets over time, such as equipment and buildings, due to wear and tear or obsolescence.

For a prospective franchisee, understanding these figures is crucial for assessing the financial health and accounting practices of Jersey Mike's. While these specific expenses may not directly impact the franchisee's operations, they provide insight into how the company manages its assets and finances, which can be indicative of the overall stability and maturity of the franchise system. Reviewing these figures over several years, as presented in the FDD, can reveal trends and patterns that are useful for evaluating the long-term prospects of the franchise.