What was the total deferred expense for My Salon Suite in the later period presented in the table?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
tal | $ 11,980,171 | $ 13,451,178 | | deferred | | | | revenue | | |
Notes to Consolidated Financial Statements
| Deferred Expense: Current deferred expense (included in prepaid expenses) Non-current deferred expense (included in other assets) | $ 648,795 2,920,914 | $ 973,726 2,255,600 | | |--------------------------------------------------------------------------------------------------------------------
Source: Item 6 — Other Intangibles and Goodwill (FDD pages 274–314)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, the total deferred expense for the later period is detailed in the provided table. The table shows the breakdown of current and non-current deferred expenses. The current deferred expense, which is included in prepaid expenses, is $648,795. The non-current deferred expense, which is included in other assets, is $2,920,914. Therefore, the total deferred expense for My Salon Suite as of the later period is $3,569,709.
This information is relevant for prospective franchisees as it provides insight into the company's financial obligations and how expenses are managed over time. Deferred expenses represent costs that have been incurred but not yet recognized as expenses on the income statement. Understanding the nature and amount of deferred expenses can help franchisees assess the financial health and stability of My Salon Suite.
For a potential My Salon Suite franchisee, this figure indicates the scale of expenses that are not immediately recognized but will impact future financial periods. It is important to consider this when evaluating the overall financial performance and potential profitability of a My Salon Suite franchise. Franchisees should seek clarification from the franchisor regarding the specific items included in deferred expenses to fully understand their implications.