What was the change in accrued liabilities for Precision Door Service in 2024?
Precision_Door_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
et | | | | | | | Intangible assets – | | 1,327,052 | | 1,425,724 | | | net | | | | | | | Goodwill | | 1,739,179 | | 1,741,101 | | | Other non-current assets | | 1,758 | | 2,128 | | | Total Assets | $ | 3,336,716 | $ | 3,459,395 | |
Consolidated Balance Sheets (continued) ($000's, except share and per share amounts)
| December 31, | ||||
|---|---|---|---|---|
| 2024 | 2023 | |||
| Liabilities and Stockholder's Equity | ||||
| Current Liabilities | ||||
| Trade accounts payable | $ | 17,856 | $ | 15,962 |
| Accrued liabilities | 48,074 | 56,589 |
Source: Item 21 — Financial Statements (FDD page 91)
What This Means (2025 FDD)
According to Precision Door Service's 2025 Franchise Disclosure Document, the company's accrued liabilities decreased from 2023 to 2024. Specifically, accrued liabilities were $56,589 as of December 31, 2023, and decreased to $48,074 as of December 31, 2024. This represents a decrease of $8,515 in accrued liabilities for Precision Door Service during that year.
Accrued liabilities typically represent expenses that a company has incurred but not yet paid. Common examples include accrued wages, accrued rent, and accrued taxes. A decrease in accrued liabilities could indicate that Precision Door Service paid off some of its outstanding obligations or that it incurred fewer of these types of expenses in 2024 compared to the previous year.
For a prospective Precision Door Service franchisee, understanding these changes in liabilities can offer insights into the company's financial management and operational efficiency. While a decrease in accrued liabilities is generally viewed positively, it's important to consider the reasons behind the change. Franchisees may want to inquire about the specific factors that contributed to this decrease to gain a more comprehensive understanding of the company's financial health.