What was the total amount of Zoomin Groomin's unearned revenue in 2024?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| LIABILITIES & EQUITY | |||
| Current Liabilities | |||
| Accounts Payable | $ 12,509 | $ 83,586 | $ 2,056 |
| Due To Affiliates | - | 45,000 | 171,504 |
| Unearned Revenue | 100,000 | 40,000 | - |
| Deferred Tax Asset | 712,478 | 385,004 | - |
| Deferred Revenue - Current | 1,006,725 | 520,782 | 39,540 |
| Total Current Liabilities | 1,831,712 | 1,074,372 | 213,100 |
| Long-Term Liabilities | |||
| Deferred Revenue | 7,974,307 | 4,125,904 | 1,240,410 |
| Total Long-Term Liabilities | 7,974,307 | 4,125,904 | 1,240,410 |
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 unearned revenue totaled $100,000 in 2024. Unearned revenue represents payments Zoomin Groomin has received for services or products that have not yet been delivered or provided. This is a liability on the balance sheet because Zoomin Groomin has an obligation to provide those services or products in the future.
In addition to the $100,000 in unearned revenue, Zoomin Groomin also reported $1,006,725 in deferred tax asset and $7,974,307 in deferred revenue in 2024. These are also liabilities, representing obligations to provide future services or benefits.
For a prospective franchisee, understanding the composition and changes in unearned and deferred revenue is crucial. It provides insight into Zoomin Groomin's sales performance, future obligations, and overall financial health. A significant increase in unearned revenue could indicate strong future sales, but also increased obligations. Franchisees should monitor these figures to assess the stability and growth potential of the franchise system.