What was the total amount of accounts receivable for Mr. Sandless as of December 31, 2022?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
chise arrangements generally include a license which provides for payments of initial fees as well as continuing royalties to the Company based upon a percentage of sales. Under this arrangement, franchisees are granted the right to operate a Mr. Sandless franchise business for a specified number of years.
Concentration of Credit Risk-Financial instruments that potentially expose the Company to concentration of credit risk pr
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 41–42)
What This Means (2025 FDD)
The 2025 Mr. Sandless Franchise Disclosure Document (FDD) does not explicitly state the total amount of accounts receivable as of December 31, 2022. However, the FDD does mention that financial instruments that potentially expose Mr. Sandless to concentration of credit risk primarily consist of cash and cash equivalents and franchisee accounts receivable. This suggests that accounts receivable are a component of Mr. Sandless's financial statements.
While the FDD includes audited financial statements for the periods ended December 31, 2024, December 31, 2023, and December 31, 2022, the specific balance sheet figures, including accounts receivable, are not detailed in the provided excerpts. The notes to the financial statements provide information on deferred franchise fees and related party transactions, but not the specific value of accounts receivable.
A prospective Mr. Sandless franchisee should request a complete copy of the audited financial statements for December 31, 2022, to review the accounts receivable balance. Understanding the level of outstanding receivables from franchisees is important for assessing the financial health of Mr. Sandless and its franchisees.