How much did Monicals Pizza accrue for real estate taxes as of December 31, 2022?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| Accrued expenses and other current liabilities consist of the following as of December 31: | |||
|---|---|---|---|
| 2023 | 2022 | ||
| Payroll and vacation | $ 2,186,026 $ 1,784,330 | ||
| Real estate taxes | 513,162 | 487,485 | |
| Profit sharing | 163,267 | 97,130 | |
| Sales and use taxes | 146,567 | 115,949 | |
| Payroll taxes | 144,924 | 114,583 | |
| State replacement tax | 71,755 | 113,075 | |
| Percentage rent | 55,711 | 61,534 | |
| Other | 57,501 | 54,546 | |
| Totals | $ 3,338,913 | $ 2,828,632 |
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, the company accrued $487,485 for real estate taxes as of December 31, 2022. This figure is part of the accrued expenses and other current liabilities reported in the consolidated financial statements.
For a prospective Monicals Pizza franchisee, understanding accrued expenses is crucial. Accrued real estate taxes represent the amount the company owes for property taxes but has not yet paid. This liability is a normal part of doing business, especially for restaurant locations that involve property ownership or lease agreements. Franchisees should be aware of how real estate taxes are handled in their specific franchise agreement, as these costs can impact their overall profitability.
Reviewing the accrued expenses provides insight into Monicals Pizza's short-term financial obligations. The FDD also lists the accrued real estate taxes for 2023, which amounted to $513,162. Comparing these figures year-over-year can indicate trends in property tax expenses, which may be influenced by property valuations or local tax rates. Franchisees should consider these factors when evaluating the financial health and stability of the franchise system.
It is important for potential franchisees to consult with a financial advisor to fully understand the implications of accrued expenses and other liabilities on their investment. Understanding these financial details will help franchisees make informed decisions and manage their business effectively.