What was the total security deposit for Mr. Sandless as of December 31, 2023?
Mr_Sandless Franchise · 2025 FDDAnswer 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 | 11,865 |
| Prepaid expenses | — | — |
| Due from related party | 64,122 | 82,500 |
| Total Current Assets | 172,377 | 148,908 |
| Property and Equipment-net | 64,898 | 7,290 |
| Security deposit | 2,000 | 2,000 |
| Total Assets | $ 239,275 | $ 158,198 |
| LIABILITIES AND MEMBERS' (DEFICIT) | ||
| Current Liabilities | ||
| Accounts payable and accrued expenses | $ 244 | $ 144 |
| Due to related p |
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 held a security deposit of $2,000 as of December 31, 2023. This figure is part of the company's balance sheet, which provides a snapshot of its assets, liabilities, and equity at a specific point in time. The balance sheet also shows that Mr. Sandless had total assets of $239,275 as of that date.
The security deposit is listed alongside other assets such as cash ($50,575), accounts receivable ($49,667), and property and equipment net of depreciation ($64,898). It's important to note that the security deposit amount remained the same from 2022 to 2023, indicating stability in this particular aspect of the company's finances.
For a prospective franchisee, understanding the security deposit amount is crucial as it represents funds held by Mr. Sandless. Reviewing the balance sheet provides insights into the company's overall financial health and how its assets are distributed. Franchisees should inquire about the conditions under which this security deposit might be used or returned, as these terms would be outlined in the franchise agreement.