{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/952/","source":"FASB Accounting Standards Codification, Basic View","usage":"Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.","number":"952","title":"Franchisors","area":"Industry","group":null,"subtopics":[{"number":"952-10","topic":"952","title":"Overall","area":"Industry","paragraphs":15,"summary":"ASC 952-10 provides incremental, industry-specific accounting and reporting guidance for franchisors — the parties that grant business rights (the franchise) to franchisees. After ASU 2014-09 removed the old franchise revenue recognition rules (now handled under ASC 606 and 340-40), what remains is chiefly guidance on franchising costs, presentation of franchisor-owned versus franchised outlet costs, and outlet/commitment disclosures. Franchisors must also apply all other applicable GAAP not contained in this Topic.","concepts":["franchisor","franchisee","continuing franchise fees","franchising costs","franchisor-owned outlets","franchised outlets","costs of obtaining a contract","franchise agreement commitments"],"categories":["Industry-specific","Disclosure","Presentation","Revenue"],"level":"intermediate","topic_title":"Franchisors","sections":[{"number":"00","label":"00 Status","anchor":"00-status","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"952-10-00-1","para":"00-1","html":"
The following table identifies the changes made to this Subtopic.
","snippet":"The following table identifies the changes made to this Subtopic.\nParagraph | Action | Accounting Standards Update | Date |\n| | | |\nArea Franchise | Superseded | Accounting Standards Update No. 2014-09 | 05/28/2014 |\nCon…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:07b4ee0a5067af585983ff889630f4a2b1c9cfdb25b66118f01c3f3e44e7f407","downloaded_from":"2026-09-10T02:20:27.287Z","last_downloaded_at":"2026-09-10T02:20:27.287Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483126","source_sha256":"28f87a4a414669185d1f5f0f207f00c0aa987f4ae4b150229366ba41c4239a18"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:15337cce1bd00d4c2b71622eb46a2ffa3c7c2cf4785468428a3cb4c480b0d8ac","downloaded_from":"2026-09-10T02:20:27.287Z","last_downloaded_at":"2026-09-10T02:20:27.287Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483126","source_sha256":"28f87a4a414669185d1f5f0f207f00c0aa987f4ae4b150229366ba41c4239a18"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bd8303c6ec803a4de543de2c347fc17d57c181507e138b1f9dec512ca215a774","downloaded_from":"2026-09-10T02:20:27.287Z","last_downloaded_at":"2026-09-10T02:20:27.287Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483126","source_sha256":"28f87a4a414669185d1f5f0f207f00c0aa987f4ae4b150229366ba41c4239a18"}},{"number":"05","label":"05 Overview and Background","anchor":"05-overview-and-background","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"952-10-05-1","para":"05-1","html":"
The Franchisors Topic provides incremental accounting and reporting standards for franchisors.
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The Franchisors Topic includes the following Subtopics:
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The objective of this Topic is to provide incremental accounting and reporting standards for franchisors.
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The Subtopics within the Franchisors Topic only provide incremental industry-specific guidance for the entities defined in this Scope Section, or as further defined in the Scope Sections of the individual Franchisors Subtopics. Entities within the scope of this Topic shall also comply with the applicable guidance not included in this Topic.
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The guidance in this Subtopic applies to all entities that meet the definition of franchisor, that is, the party that grants business rights (the franchise) to the party (the franchisee) that will operate the franchised business.
","snippet":"The guidance in this Subtopic applies to all entities that meet the definition of franchisor, that is, the party that grants business rights (the franchise) to the party (the franchisee) that will operate the franchised …","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:530cdceb3d93f3e8a95e322fe3f2008ae3df943f5c25ab7a0161c43bac497c78","downloaded_from":"2026-09-10T02:20:36.377Z","last_downloaded_at":"2026-09-10T02:20:36.377Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483050","source_sha256":"b5522cbc0d48b5cbe55bd9015023c3273d986ef2d3b2f205e5e92c931e8acd9f"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:eeaa5391caa23b1cbe51a4844f701d4872c714f4399072791f699a9f71534741","downloaded_from":"2026-09-10T02:20:36.377Z","last_downloaded_at":"2026-09-10T02:20:36.377Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483050","source_sha256":"b5522cbc0d48b5cbe55bd9015023c3273d986ef2d3b2f205e5e92c931e8acd9f"}},{"block":null,"heading":"Transactions","paragraphs":[{"citation":"952-10-15-3","para":"15-3","html":"
The guidance in this Topic applies to the following:
Transactions between the franchisor and franchisee.
","snippet":"The guidance in this Topic applies to the following:\n(a) Subparagraph superseded by Accounting Standards Update No. 2014-09.\n(b) Costs associated with franchising activities\n(c) Transactions between the franchisor and fr…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:42a922e3d2015a5e7aa6848df185166c4ace54675f16ddcc5bf3ac00be7b9d63","downloaded_from":"2026-09-10T02:20:36.377Z","last_downloaded_at":"2026-09-10T02:20:36.377Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483050","source_sha256":"b5522cbc0d48b5cbe55bd9015023c3273d986ef2d3b2f205e5e92c931e8acd9f"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a43b3d8f6693c248ffcf71680f0eaaa8854df807c907dbbc0b43cad53546ef31","downloaded_from":"2026-09-10T02:20:36.377Z","last_downloaded_at":"2026-09-10T02:20:36.377Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483050","source_sha256":"b5522cbc0d48b5cbe55bd9015023c3273d986ef2d3b2f205e5e92c931e8acd9f"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c9339b536536f67de533d7c23d21645890a4c2a3ce3d49a829c463d063658024","downloaded_from":"2026-09-10T02:20:36.377Z","last_downloaded_at":"2026-09-10T02:20:36.377Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483050","source_sha256":"b5522cbc0d48b5cbe55bd9015023c3273d986ef2d3b2f205e5e92c931e8acd9f"}},{"number":"25","label":"25 Recognition","anchor":"25-recognition","is_sec":false,"groups":[{"block":null,"heading":"Costs","paragraphs":[{"citation":"952-10-25-1","para":"25-1","html":"
","snippet":"Costs relating to continuing franchise fees shall be expensed as incurred.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:19ed8d89f60a3366acb844b922b7b71fcac9651b8c05debdc4559aef8e7ae9ea","downloaded_from":"2026-09-10T02:20:43.815Z","last_downloaded_at":"2026-09-10T02:20:43.815Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482997","source_sha256":"50762d5755186b991e39290d43e7ee80af851d8ff07f504bfe61e37b595c85db"}},{"citation":"952-10-25-2","para":"25-2","html":"
Indirect costs of a regular and recurring nature that are incurred irrespective of the level of sales, such as general, selling, and administrative costs, shall be expensed as incurred. For guidance on accounting for the incremental costs of obtaining a contract with a customer, see Subtopic 340-40.
","snippet":"Indirect costs of a regular and recurring nature that are incurred irrespective of the level of sales, such as general, selling, and administrative costs, shall be expensed as incurred. For guidance on accounting for the…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:2c69763829aa269cdab7fa6a77a2661bf18748c5433711c26b20aff6bac39fed","downloaded_from":"2026-09-10T02:20:43.815Z","last_downloaded_at":"2026-09-10T02:20:43.815Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482997","source_sha256":"50762d5755186b991e39290d43e7ee80af851d8ff07f504bfe61e37b595c85db"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:eb693e693ca4739aeee984daa86958abd850226ba360bd7a9e5745ee1651937a","downloaded_from":"2026-09-10T02:20:43.815Z","last_downloaded_at":"2026-09-10T02:20:43.815Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482997","source_sha256":"50762d5755186b991e39290d43e7ee80af851d8ff07f504bfe61e37b595c85db"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:f2d51a2cdb8df4941815031a5701258fbe0e1904e42d7db37b46f4cf7e6d6927","downloaded_from":"2026-09-10T02:20:43.815Z","last_downloaded_at":"2026-09-10T02:20:43.815Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482997","source_sha256":"50762d5755186b991e39290d43e7ee80af851d8ff07f504bfe61e37b595c85db"}},{"number":"45","label":"45 Other Presentation Matters","anchor":"45-other-presentation-matters","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"952-10-45-1","para":"45-1","html":"
Costs related to franchisor-owned outlets shall be distinguished from costs related to franchised outlets when practicable. That may be done by segregating costs related to franchised outlets.
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If there are significant changes in franchisor-owned outlets or franchised outlets during the period, the number of the following shall be disclosed:
a
Franchises sold
b
Franchises purchased during the period
c
Franchised outlets in operation
d
Franchisor-owned outlets in operation.
","snippet":"If there are significant changes in franchisor-owned outlets or franchised outlets during the period, the number of the following shall be disclosed:\n(a) Franchises sold\n(b) Franchises purchased during the period\n(c) Fra…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:3a09dab52628f85783dffd2e72a4859740d60b472cc7755b1ad2613d03c28730","downloaded_from":"2026-09-10T02:20:49.327Z","last_downloaded_at":"2026-09-10T02:20:49.327Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482948","source_sha256":"0ff95e218c1666f39a49c24773b2e12edd3ee3b45493e452c296cfe5a77e9cbb"}},{"citation":"952-10-50-2","para":"50-2","html":"
The nature of all significant commitments and obligations resulting from franchise agreements, including a description of the services that the franchisor has agreed to provide for agreements that have not yet been substantially performed, shall be disclosed.
","snippet":"The nature of all significant commitments and obligations resulting from franchise agreements, including a description of the services that the franchisor has agreed to provide for agreements that have not yet been subst…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:b511adb5f5d27e249c9c2d35c07043939274941f9866b91038be7051546caece","downloaded_from":"2026-09-10T02:20:49.327Z","last_downloaded_at":"2026-09-10T02:20:49.327Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482948","source_sha256":"0ff95e218c1666f39a49c24773b2e12edd3ee3b45493e452c296cfe5a77e9cbb"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8c4deb721088c76d36fe957cce48f0244e915d71cdcbf36607bb170ec05583f9","downloaded_from":"2026-09-10T02:20:49.327Z","last_downloaded_at":"2026-09-10T02:20:49.327Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482948","source_sha256":"0ff95e218c1666f39a49c24773b2e12edd3ee3b45493e452c296cfe5a77e9cbb"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4093294ec38088025b316d8fc3d93d13ebfc73eb9287f605b20d94dfd4537835","downloaded_from":"2026-09-10T02:20:49.327Z","last_downloaded_at":"2026-09-10T02:20:49.327Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482948","source_sha256":"0ff95e218c1666f39a49c24773b2e12edd3ee3b45493e452c296cfe5a77e9cbb"}},{"number":"60","label":"60 Relationships","anchor":"60-relationships","is_sec":false,"groups":[{"block":null,"heading":"Presentation of Financial Statements","paragraphs":[{"citation":"952-10-60-1","para":"60-1","html":"
For illustrations of franchisor reporting of discontinued operations, see paragraphs
","snippet":"For illustrations of franchisor reporting of discontinued operations, see paragraphs 205-20-55-83 through 55-103.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4aa8a94fef9dc43818ac2d86e2a6912ccb26817feb0764b1792f57bd039e24bd","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1352ed0e78d2ce43ce3f9402f1324fdc41736ad7cf411513f938f2db8e699d17","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}},{"block":null,"heading":"Entertainment—Cable Television","paragraphs":[{"citation":"952-10-60-2","para":"60-2","html":"
For guidance on accounting for franchise costs related to cable television entities, see paragraphs 922-350-25-3; 922-350-35-4; and 922-720-25-4.
","snippet":"For guidance on accounting for franchise costs related to cable television entities, see paragraphs 922-350-25-3; 922-350-35-4; and 922-720-25-4.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a29fe4ca4abff962aa9fe30b8538460c5e01dac670214bcc584b247a6630a387","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:b38c6347653ef45e9b0451e217e9795c2753fbbe5541d099f67167b9a029d579","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}},{"block":null,"heading":"Consolidation","paragraphs":[{"citation":"952-10-60-3","para":"60-3","html":"
For guidance on consolidation requirements applicable to a franchisor related to an entity that is the franchisee, see Subtopic 810-10.
","snippet":"For guidance on consolidation requirements applicable to a franchisor related to an entity that is the franchisee, see Subtopic 810-10.","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9116b15a8fecc081732798a2b1127226cf764cc03f09268778946285d367a9f7","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:40a1a80ff49670ab880ee4ea580e0265a2eed18111cca3caf02cad2165c4a3d3","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:793d4c58752611250c9432d3a0473e1e1bca6578c858c3ceedfdea0834aafd67","downloaded_from":"2026-09-10T02:20:51.679Z","last_downloaded_at":"2026-09-10T02:20:51.679Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483124","source_sha256":"6bc1948342414526082ca88632a4dbf900345ddf53349a0696a33ddc3b0d6303"}}],"enrichment":{"summary":"ASC 952-10 provides incremental, industry-specific accounting and reporting guidance for franchisors — the parties that grant business rights (the franchise) to franchisees. After ASU 2014-09 removed the old franchise revenue recognition rules (now handled under ASC 606 and 340-40), what remains is chiefly guidance on franchising costs, presentation of franchisor-owned versus franchised outlet costs, and outlet/commitment disclosures. Franchisors must also apply all other applicable GAAP not contained in this Topic.","key_points":["The Topic applies to all entities meeting the definition of franchisor and covers costs associated with franchising activities and transactions between franchisor and franchisee (952-10-15-2; 952-10-15-3).","Entities in scope must also comply with applicable guidance outside this Topic; the franchisor guidance is only incremental (952-10-15-1).","Costs relating to continuing franchise fees shall be expensed as incurred (952-10-25-1).","Indirect costs of a regular and recurring nature incurred irrespective of sales level (general, selling, and administrative) shall be expensed as incurred; incremental costs of obtaining a contract with a customer follow Subtopic 340-40 (952-10-25-2).","When practicable, costs related to franchisor-owned outlets shall be distinguished from costs related to franchised outlets, such as by segregating franchised-outlet costs (952-10-45-1).","If there are significant changes in outlets during the period, disclose the number of franchises sold, franchises purchased, franchised outlets in operation, and franchisor-owned outlets in operation (952-10-50-1).","Disclose the nature of all significant commitments and obligations from franchise agreements, including services the franchisor has agreed to provide under agreements not yet substantially performed (952-10-50-2)."],"categories":["Industry-specific","Disclosure","Presentation","Revenue"],"audience_level":"intermediate","student_note":"The classic trap is citing ASC 952 for franchise fee revenue recognition — ASU 2014-09 superseded that guidance, so initial and continuing franchise fee revenue is now recognized under ASC 606 and related contract costs under ASC 340-40, leaving 952-10 to govern cost expensing, outlet cost segregation, and disclosures.","related_topics":["606","340-40","810-10","205-20","922-350","952-810"],"key_concepts":["franchisor","franchisee","continuing franchise fees","franchising costs","franchisor-owned outlets","franchised outlets","costs of obtaining a contract","franchise agreement commitments"],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:df67b1e31bbc41fdc7202215fcc87c9678215e6b732facc42b4dd6c2115dc386","downloaded_from":"2026-09-10T02:20:27.287Z","last_downloaded_at":"2026-09-10T02:20:55.063Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},"related":[{"number":"340-952","title":"Franchisors","topic_title":"Other Assets and Deferred Costs","score":0.7318,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:7ec5402391d2d4f4f55972ea966b93842d13973ff5499388046c74ac1b530746","downloaded_from":"2026-09-09T23:58:29.537Z","last_downloaded_at":"2026-09-09T23:58:41.693Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"720-952","title":"Franchisors","topic_title":"Other Expenses","score":0.7309,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c482bd77b467c3d0124dfaf1fb8d497e26ed4c336b0662e4d375899566d10900","downloaded_from":"2026-09-10T01:12:09.288Z","last_downloaded_at":"2026-09-10T01:12:26.241Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"810-952","title":"Franchisors","topic_title":"Consolidation","score":0.7124,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:3eb32a084530df430f09bfbc7ef95174968b299a866eaf863d516ae402b1c84f","downloaded_from":"2026-09-10T01:32:30.134Z","last_downloaded_at":"2026-09-10T01:32:39.647Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"605-952","title":"Franchisors","topic_title":"Revenue Recognition","score":0.7001,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:641756478d112b67f1fdfd9e9440c6c0d8717c86b5f77442ae950f1570702a37","downloaded_from":"2026-09-10T00:50:14.020Z","last_downloaded_at":"2026-09-10T00:50:38.705Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"985-10","title":"Overall","topic_title":"Software","score":0.686,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5be3d7a1bce92fa2c4d564ef06262045fc978c7739f539425b66ab3fa7f308ae","downloaded_from":"2026-09-10T02:28:16.187Z","last_downloaded_at":"2026-09-10T02:28:23.457Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},{"number":"920-10","title":"Overall","topic_title":"Entertainment—Broadcasters","score":0.6653,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4097ffec417192110adbf9bafbc2ba72c8beb9f5f25f5e37b305c09b690ee618","downloaded_from":"2026-09-10T02:10:41.501Z","last_downloaded_at":"2026-09-10T02:10:50.750Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}}],"prev":{"number":"948-10","title":"Overall","topic_title":"Financial Services—Mortgage Banking","provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:e3050952272de769b2c157cae92f9b63ed0d6f5ef7f872d22f39d9d70c87fc88","downloaded_from":"2026-09-10T02:20:07.609Z","last_downloaded_at":"2026-09-10T02:20:23.493Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},"next":{"number":"954-10","title":"Overall","topic_title":"Health Care Entities","provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5ea018ad9223ed60d3ea9feefde178ab155af35a8689663aa9736f1ae9a61cdd","downloaded_from":"2026-09-10T02:20:57.129Z","last_downloaded_at":"2026-09-10T02:21:05.879Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:51a5ca0ba1eb3b516b2b146d1b5fefc5e42acc774f7a9af1320d211973a3403c","downloaded_from":"2026-09-10T02:20:27.287Z","last_downloaded_at":"2026-09-10T02:20:55.063Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}}],"paragraphs":15,"summary":"ASC 952 supplies the incremental, industry-specific GAAP for franchisors — entities that grant franchise rights to franchisees — and must be applied on top of, not instead of, all other applicable GAAP (952-10-15-1 through 15-3). Because ASU 2014-09 moved franchise fee revenue recognition to ASC 606 and contract cost capitalization to ASC 340-40, what remains in Topic 952 is guidance on franchising costs (costs of continuing franchise fees and regular, recurring indirect general, selling and administrative costs are expensed as incurred — 952-10-25-1; 952-10-25-2), presentation (when practicable, segregate costs of franchisor-owned outlets from those of franchised outlets — 952-10-45-1), and disclosure (outlet activity when changes are significant, plus significant commitments and obligations under agreements not yet substantially performed — 952-10-50-1; 952-10-50-2). The key idea: franchisors recognize revenue and capitalize incremental contract acquisition costs under the general revenue model, while Topic 952 governs cost expensing, franchised-versus-company-owned cost presentation, and franchise-specific disclosures.","concepts":["franchisor and franchisee","continuing franchise fees","franchising costs expensed as incurred","indirect general, selling, and administrative costs","incremental costs of obtaining a contract (340-40)","franchisor-owned versus franchised outlets","outlet activity disclosure","commitments under agreements not yet substantially performed"],"categories":["Industry-specific","Revenue","Presentation","Disclosure"],"level":"intermediate","provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:f6e950444f44b682713bd1b472097be58cf5872e5fc4cacca7f5d04574f70ab7","downloaded_from":"2026-09-10T02:20:27.287Z","last_downloaded_at":"2026-09-10T02:20:55.063Z","date_scope":"source_page_range","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps"}}