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What were the total current assets for Mr. Sandless as of December 31, 2023?

Mr_Sandless Franchise · 2025 FDD

Answer from 2025 FDD Document

the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

Muhammad Zubairy, CPA Valley Stream, NY April 2, 2024

MR. SANDLESS FRANCHISE, LLC BALANCE SHEETS

ASSETS
YEARS ENDED DECEMBER 31
2023 2022
Current Assets
Cash $ 50,575 $ 8,760
Accounts receivable 49,667 45,783
Inventory 8,013

Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 41–42)

What This Means (2025 FDD)

According to Mr. Sandless's 2025 Franchise Disclosure Document, the company's total current assets as of December 31, 2023, were $172,377. This figure represents the sum of several liquid assets the company held at that time. These assets include cash ($50,575), accounts receivable ($49,667), inventory ($8,013), and due from related party ($64,122).

For a prospective Mr. Sandless franchisee, understanding the composition and amount of current assets is crucial. Current assets are resources that Mr. Sandless can readily convert into cash within a year. A higher value of current assets relative to current liabilities generally indicates better short-term financial health and liquidity. This suggests that Mr. Sandless is capable of meeting its immediate financial obligations.

It is also useful to compare these figures with those from the previous year. In 2022, Mr. Sandless reported total current assets of $148,908. The increase to $172,377 in 2023 suggests a positive trend in the company's liquidity position. A potential franchisee should investigate the reasons for changes in each component of current assets (cash, receivables, inventory, etc.) to fully understand the company's financial dynamics.

Reviewing these figures in conjunction with Mr. Sandless's liabilities and overall financial statements will provide a more comprehensive view of the company's financial stability. Prospective franchisees should consult with a financial advisor to assess the implications of these financial metrics for their investment decision.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.