Do the financial statements for Springhill Suites By Marriott include a balance sheet?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
s:
| 2024 | 2023 | |
|---|---|---|
| Costs incurred to obtain contracts with customers | $ 31,016 | $ 30,858 |
| Other contract intangibles | 1,764 | 1,764 |
| $ 32,780 | $ 32,622 | |
| Accumulated amortization | (11,143) | (9,782) |
| $ 21,637 | $ 22,840 |
We capitalize only incremental costs that Marriott incurs on our behalf to acquire franchise and license agreements, which we reimburse through a related party payable. We record these costs incurred to obtain contracts with customers within the "Intangible assets, net" caption of our Balance Sheets.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 137–138)
What This Means (2025 FDD)
Yes, according to the 2025 Franchise Disclosure Document, the financial statements for Springhill Suites By Marriott include balance sheets. Specifically, the FDD mentions that costs incurred to obtain contracts with customers are classified in the "Intangible assets, net" caption of Springhill Suites By Marriott's Balance Sheets.
Additionally, the FDD states that incremental costs that Marriott incurs on behalf of the franchise to acquire franchise and license agreements are recorded within the "Intangible assets, net" caption of their Balance Sheets. These costs are then amortized over the term of the agreements, which range from 10 to 30 years, and are reflected in the "Contract investment amortization" and "Cost reimbursement revenue" captions of their Income Statements.
The document also notes that incremental costs of obtaining a contract with a customer are classified in the "Intangible assets, net" caption of their Balance Sheets, with related amortization in the "Contract investment amortization" caption of their Income Statements, and the cash flow impact in the "Amortization and depreciation" and "Contract acquisition costs" captions of their Statements of Cash Flows.