What was the total financial result for Sonesta Select Sonesta Essential as of December 31, 2023?
Sonesta_Select_Sonesta_Essential Franchise · 2025 FDDAnswer from 2025 FDD Document
matters that we identified during the audit.
March 24, 2025
RED LION HOTELS CORPORATION CONSOLIDATED BALANCE SHEETS
(amounts in thousands, except share data)
| December 31, | ||||
|---|---|---|---|---|
| 2024 | 2023 | |||
| ASSETS | ||||
| Current assets: | ||||
| Cash and cash equivalents | $ | 13,316 | $ | 37,753 |
| Accounts receivable, net | 9,258 | 7,259 | ||
| Notes receivable, net | 40 | 42 | ||
| Prepaid expenses and other current assets | 4,592 | 3,441 | ||
| Total current assets | 27,206 | 48,495 | ||
| Property and equipment, net | 1,178 | 816 | ||
| Intangible assets, net | 20,884 | 21,153 | ||
| Operating lease right of use assets | 1,686 | 2,131 | ||
| Goodwill | 19,680 | 19,680 | ||
| Other long term as sets | 30,308 | 12,324 | ||
| Total assets | $ | 100,942 | $ | 104,599 |
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
| Current liabilities: | ||||
| Accounts payable | $ | 1,481 | $ | 1,915 |
| Accrued compensation | 4,202 | 3,745 | ||
| Accrued expenses and other current liabilities | 868 | 1,631 | ||
| Operating lease liabilities | 581 | 595 | ||
| Total current liabilities | 7,132 | 7,886 | ||
| Long term liabilities: | ||||
| Operating lease liabilities, net of current portion | 1,218 | 1,680 | ||
| Due to related parties | 7,234 | 8,768 | ||
| Deferred income taxes | 235 | 235 | ||
| Loyalty program | 139 | - | ||
| Other long-term liabilities | 6,753 | 4,886 | ||
| Total long term liabilities | 15,579 | 15,569 | ||
| Total liabilities | 22,711 | 23,455 | ||
| Commitments and contingencies (Note 8) | ||||
| Shareholders' Equity: | ||||
| Common shares, $0.01 par value; |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 84)
What This Means (2025 FDD)
According to Sonesta Select Sonesta Essential's 2025 Franchise Disclosure Document, the consolidated balance sheets show the company's total assets and liabilities as of December 31, 2023. The total assets amounted to $104,599,000, while the total liabilities were $23,455,000. Shareholders' equity totaled $81,144,000. These figures reflect the overall financial position of Red Lion Hotels Corporation (RLHC) and its subsidiaries, including Sonesta Select Sonesta Essential.
These figures provide a snapshot of the company's financial health at the end of 2023. The difference between total assets and total liabilities indicates the net worth or equity held by shareholders. A prospective franchisee can use these figures to assess the financial stability and solvency of Sonesta Select Sonesta Essential. It's important to note that these are consolidated figures, representing the entire Red Lion Hotels Corporation, not just the Sonesta Select Sonesta Essential brand.
It is also important to note that the financial statements for the year ended December 31, 2023 have been restated to correct errors within the statement of cash flows. Key money disbursements of $9,598 were not correctly presented in the 2023 statement of cash flows. In the previously issued financial statements, such disbursements were erroneously presented as investing cash outflows, and the 2023 statement of cash flows has been restated to correctly present these disbursements as operating cash outflows, within changes in other long-term assets.
Prospective franchisees should review the complete audited financial statements, including all notes and disclosures, to gain a comprehensive understanding of Sonesta Select Sonesta Essential's financial performance and position. Understanding the relationship between RLHC and Sonesta International Hotels Corporation is also crucial, as RLHC is wholly owned by Sonesta. This relationship may impact financial decisions and resource allocation.