Contract Liabilities:

12 Months Ended

Dec. 30, 2023

Contract Liabilities:

Contract Liabilities:

9.     Contract Liabilities:

The Company’s contract liabilities for its franchise revenues consist of deferred revenue associated with franchise fees and software license fees. The table below presents the activity of the current and noncurrent deferred franchise revenue during fiscal years 2023 and 2022, respectively:

	December 30, 2023		December 31, 2022
Balance at beginning of period	$	8,618,100	$	8,508,500
Franchise and software license fees collected from franchisees, excluding amount earned as revenue during the period		2,470,600		1,951,800
Fees earned that were included in the balance at the beginning of the period		(1,765,100)		(1,842,200)
Balance at end of period	$	9,323,600	$	8,618,100

The following table illustrates future estimated revenue to be recognized for the next five fiscal years and fiscal years thereafter related to performance obligations that are unsatisfied (or partially unsatisfied) as of December 30, 2023:

Contract Liabilities expected to be recognized in	Amount
2024	$	1,666,100
2025		1,449,800
2026		1,245,300
2027		1,070,700
2028		901,200
Thereafter		2,990,500
	$	9,323,600

We have applied the optional exemption, as provided for under ASC Topic 606, Revenue from Contracts with Customers, which allows us to not disclose the transaction price allocated to unsatisfied performance obligations when the transaction price is a sales-based royalty.