According to Mr. Sandless's 2025 Franchise Disclosure Document, the depreciation expense for the year ending December 31, 2024, was $21,196. This figure reflects the reduction in value of Mr. Sandless's assets, such as office equipment, computer equipment, and automobiles, over that year. These assets are depreciated using the straight-line method over an estimated useful life of five years.

For a prospective Mr. Sandless franchisee, understanding depreciation expense is crucial for assessing the company's financial health and profitability. Depreciation is a non-cash expense that reflects the wear and tear of assets used in the business. While it doesn't represent an immediate cash outflow, it does reduce the company's taxable income, which can lower income tax obligations.

The depreciation expense can also impact the franchisee's own financial planning. If a franchisee invests in similar assets for their own business, they can expect to incur depreciation expenses as well. This can affect their profitability and cash flow, so it's important to factor it into their financial projections. Reviewing Mr. Sandless's depreciation practices can provide insights into how the company manages its assets and accounts for their declining value over time.