What was the total capital contributions for Ledgers as of December 31, 2024?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
) | | (82,735) | | (6,284) | | Other income | | = | | (115,395) | | 554 | | Other expense | | 485 | | 4,014 | | 3,246 | | Total other (income) expense | (2 | 24,290) | | (194,116) | _ | (2,484) | | Loss before income taxes | (4 | 65,991) | | (604,600) | | (600,527) | | Income tax benefit | (1 | 04,000) | | (98,000) | , | (153,000) | | Net loss | $ (30 | 61,991) | $ | (506,600) | $ | (447,527) |
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Statements of Changes in Members' Equity
For the Years Ended December 31, 2024, 2023, and 2022
| | Capital Contributions | Accumulated Deficit | Total | |----------------------
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the total capital contributions as of December 31, 2024, was $3,200,000. However, the accumulated deficit was reported as $(2,406,490), resulting in total members' equity of $793,510.
It's important to note that while the capital contributions remained constant from January 1, 2022, through December 31, 2024, the accumulated deficit increased over the same period. This increase in deficit is reflected in the net losses reported for each year, impacting the overall members' equity. Specifically, the net loss for the year ended December 31, 2024, was $(361,991).
Prospective franchisees should be aware of these financial figures as they provide insight into the financial stability and performance of Ledgers. Understanding the capital contributions, accumulated deficit, and net losses can help franchisees assess the financial health of the company and make informed decisions about investing in a franchise. It is also worth noting that the company had negative working capital of $468,670 as of December 31, 2024, and operating losses of $490,281 for the year ended December 31, 2024.