What was the total amount of Zoomin Groomin's accounts receivable in 2023?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
r, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about Zoomin Groomin USA LLC's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters the auditor identified during the audit.
DASH Business Solutions, LLC
DASH
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the company's accounts receivable totaled $212,876 in 2023. Accounts receivable represent the money owed to Zoomin Groomin by its customers or franchisees for services rendered or products sold on credit. This figure is a snapshot of the outstanding payments due to the company as of December 31, 2023.
For a prospective franchisee, understanding the accounts receivable is crucial as it reflects the financial health and efficiency of the company in collecting its dues. A high accounts receivable might indicate difficulties in collecting payments, while a lower figure suggests effective collection strategies. In Zoomin Groomin's case, the accounts receivable is part of the company's current assets, which totaled $3,147,231 in 2023.
It's also important to note that Zoomin Groomin records accounts receivable for amounts due based on the terms of executed franchise agreements, covering franchise sales, royalty fees, and other revenues. These receivables are carried at the original invoice amount, less any estimates made for doubtful receivables. The FDD states that at the end of 2024, the company had accounts receivables of $386,516, and all accounts were deemed collectible. This indicates a positive outlook on the collectability of their outstanding invoices.