What was the net book value of brand and other indefinite-lived intangibles for The Standardx?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 10: OTHER ASSETS]
| Management and hotel services agreement and franchise agreement intangibles | 19 | $ 1,368 $ (290) $ 1,078 |
|---|---|---|
| Brand and other indefinite-lived intangibles — 806 — 806 | ||
| Customer relationships intangibles | 10 | 410 (153) 257 |
| Other intangibles | 10 | 35 (9) 26 |
| Total $ 2,619 $ (452) $ 2,167 |
[Item 10: OTHER ASSETS]
| Management and hotel services agreement and franchise agreement intangibles | $ 906 $ (248) $ 658 |
|---|---|
| Brand and other indefinite-lived intangibles 608 — 608 | |
| Customer relationships intangibles | 620 (243) 377 |
| Other intangibles 33 (6) 27 | |
| Total $ 2,167 $ (497) $ 1,670 |
Source: Item 10 — OTHER ASSETS (FDD pages 132–156)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, the net book value of brand and other indefinite-lived intangibles is detailed within the 'OTHER ASSETS' section. In 2023, the value was $806, while in 2024, it was $608. These figures represent the valuation of The Standardx's brand recognition and other intangible assets that are expected to last indefinitely.
For a prospective franchisee, understanding these values is crucial as it reflects the financial importance of The Standardx's brand and associated intangibles. A strong brand can drive customer traffic and loyalty, impacting the franchisee's revenue potential. The decrease from $806 in 2023 to $608 in 2024 could signal changes in brand valuation or accounting practices, which a franchisee should investigate further.
It is important to note that these values are based on accounting principles and may not directly translate into immediate cash flow for the franchisee. However, they provide insight into the overall financial health and brand strength of The Standardx. A potential franchisee should discuss with The Standardx the factors contributing to the brand and indefinite-lived intangibles valuation and any strategies to maintain or increase this value.