BAB (BABB) 10-Q 12 Oct 23 2023 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Aug. 31, 2023	Oct. 12, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Aug. 31, 2023
Document Transition Report	false
Entity File Number	0-31555
Entity Registrant Name	BAB, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	36-4389547
Entity Address, Address Line One	500 Lake Cook Road, Suite 475
Entity Address, City or Town	Deerfield
Entity Address, State or Province	IL
Entity Address, Postal Zip Code	60015
City Area Code	847
Local Phone Number	948-7520
Title of 12(b) Security	Common Stock
Trading Symbol	BABB
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		7,263,508
Entity Central Index Key	0001123596
Current Fiscal Year End Date	--11-30
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Aug. 31, 2023	Nov. 30, 2022
Current Assets
Cash and cash equivalents	$ 1,713,798	$ 1,623,256
Restricted cash	321,901	279,405
Receivables
Trade accounts and notes receivable (net of allowance for doubtful accounts of $10,873 in 2023 and 2022)	76,840	73,972
Marketing fund contributions receivable from franchisees and stores	17,111	12,811
Lease receivable	5,882	5,827
Prepaid expenses and other current assets	96,304	156,976
Total Current Assets	2,231,836	2,152,247
Property, plant and equipment (net of accumulated depreciation of $159,414 in 2023 and 2022)	0	0
Lease receivable	33,887	38,305
Trademarks	461,445	461,445
Goodwill	1,493,771	1,493,771
Definite lived intangible assets (net of accumulated amortization of $137,559 in 2023 and $134,733 in 2022)	17,326	18,972
Operating lease right of use	56,931	127,617
Other assets	2,250	2,250
Total Noncurrent Assets	2,065,610	2,142,360
Total Assets	4,297,446	4,294,607
Current Liabilities
Accounts payable	4,072	5,803
Accrued expenses and other current liabilities	301,921	324,718
Current portion operating lease liability	69,088	113,883
Total Current Liabilities	754,346	769,576
Long-term Liabilities (net of current portion)
Operating lease liability	0	39,819
Deferred franchise revenue	143,694	128,465
Deferred tax liability	285,293	281,700
Total Long-term Liabilities	428,987	449,984
Total Liabilities	1,183,333	1,219,560
Commitments and Contingencies
Stockholders' Equity
Common stock -$.001 par value; 15,000,000 shares authorized; 8,466,953 shares issued and 7,263,508 shares outstanding as of August 31, 2023 and November 30, 2022	13,508,257	13,508,257
Additional paid-in capital	987,034	987,034
Treasury stock	(222,781)	(222,781)
Accumulated deficit	(11,158,397)	(11,197,463)
Total Stockholders' Equity	3,114,113	3,075,047
Total Liabilities and Stockholders' Equity	4,297,446	4,294,607
Series A Preferred Stock [Member]
Stockholders' Equity
Preferred shares -$.001 par value; 4,000,000 authorized; no shares outstanding as of August 31, 2023 and November 30, 2022	0	0
Marketing Fund [Member]
Current Liabilities
Unexpended marketing fund contributions	341,172	291,387
Franchise [Member]
Current Liabilities
Unexpended marketing fund contributions	33,093	33,487
Long-term Liabilities (net of current portion)
Deferred franchise revenue	143,694	128,465
License [Member]
Current Liabilities
Unexpended marketing fund contributions	$ 5,000	$ 298

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Aug. 31, 2023	Nov. 30, 2022
Trade accounts and notes receivable, allowance for doubtful accounts	$ 10,873	$ 10,873
Property, plant and equipment, accumulated depreciation	159,414	159,414
Definite lived intangible assets, accumulated amortization	$ 137,559	$ 134,733
Preferred shares, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred shares, authorized (in shares)	4,000,000	4,000,000
Preferred shares, outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	15,000,000	15,000,000
Common stock, issued (in shares)	8,466,953	8,466,953
Common stock, outstanding (in shares)	7,263,508	7,263,508
Series A Preferred Stock [Member]
Preferred shares, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred shares, authorized (in shares)	1,000,000	1,000,000
Preferred shares, outstanding (in shares)	0	0

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($)	3 Months Ended		9 Months Ended
	Aug. 31, 2023	Aug. 31, 2022	Aug. 31, 2023	Aug. 31, 2022
REVENUES
Revenues	$ 936,651	$ 882,289	$ 2,546,644	$ 2,445,029
Selling, general and administrative expenses:
Payroll and payroll-related expenses	237,140	229,434	740,763	719,065
Occupancy	34,989	34,694	103,396	101,579
Advertising and promotion	2,933	671	10,638	9,157
Professional service fees	23,030	17,784	101,707	81,685
Travel	4,754	2,785	13,028	10,457
Employee benefit expenses	33,406	33,315	111,276	111,175
Depreciation and amortization	981	923	2,826	3,517
Marketing fund expenses	345,486	287,402	870,543	808,279
Other	35,128	46,333	153,174	150,649
Total Operating Expenses	717,847	653,341	2,107,351	1,995,563
Income from operations	218,804	228,948	439,293	449,466
Interest income	15,054	153	20,613	282
Income before provision for income taxes	233,858	229,101	459,906	449,748
Provision for income taxes
Current tax expense	36,684	64,746	126,707	95,087
Deferred tax expense	29,416	0	3,593	33,500
Total Tax Provision.	66,100	64,746	130,300	128,587
Net Income	$ 167,758	$ 164,355	$ 329,606	$ 321,161
Net Income per share - Basic and Diluted (in dollars per share)	$ 0.02	$ 0.02	$ 0.05	$ 0.04
Weighted average shares outstanding - Basic and diluted (in shares)	7,263,508	7,263,508	7,263,508	7,263,508
Cash distributions declared per share (in dollars per share)	$ 0.01	$ 0.01	$ 0.04	$ 0.03
Royalty [Member]
REVENUES
Revenues	$ 515,970	$ 481,833	$ 1,453,511	$ 1,361,545
Franchise [Member]
REVENUES
Revenues	11,306	15,882	22,707	33,961
Licensing Fees and Other Income [Member]
REVENUES
Revenues	63,889	97,172	199,883	241,244
Marketing Fund [Member]
REVENUES
Revenues	$ 345,486	$ 287,402	$ 870,543	$ 808,279

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Aug. 31, 2023	Aug. 31, 2022
Operating activities
Net Income	$ 329,606	$ 321,161
Adjustments to reconcile net income to cash flows provided by operating activities:
Depreciation and amortization	2,826	3,517
Deferred tax expense	3,593	33,500
Provision for uncollectible accounts, net of recoveries	0	(2,744)
Noncash lease expense	74,483	74,484
Sales-type lease income	0	(5,319)
Changes in:
Trade accounts receivable and notes/lease receivable	1,495	48,456
Marketing fund contributions receivable	(4,300)	13,174
Prepaid expenses and other	60,672	(88,263)
Accounts payable	(1,731)	(11,372)
Accrued liabilities	(22,797)	33,285
Unexpended marketing fund contributions	49,785	215,913
Deferred revenue	19,537	(1,765)
Operating lease liability	(88,411)	(86,424)
Net Cash Provided by Operating Activities	424,758	547,603
Investing activities
Trademark Additions	1,180	0
Net Cash Used In Investing Activities	(1,180)	0
Financing activities
Cash distributions/dividends	(290,540)	(217,905)
Net Cash Used In Financing Activities	(290,540)	(217,905)
Net Increase in Cash and Restricted Cash	133,038	329,698
Cash and Restricted Cash - Beginning of Period	1,902,661	2,058,158
Cash and Restricted Cash - End of Period	2,035,699	2,387,856
Supplemental disclosure of cash flow information:
Interest paid	0	0
Income taxes paid	52,500	80,800
Net Investment in lease receivable	$ 0	$ 47,019

Note 1 - Nature of Operations

Note 1 - Nature of Operations	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Nature of Operations [Text Block]	Note 1. Nature of Operations BAB, Inc. (“the Company”) has three The Company was incorporated under the laws of the State of Delaware on July 12, 2000. The Company currently franchises and licenses bagel and muffin retail units under the BAB, MFM and SD trade names. At August 31, 2023, the Company had 66 franchise units and 3 licensed units in operation in 20 states. There are 5 units under development. The Company additionally derives income from the sale of its trademark bagels, muffins and coffee through nontraditional channels of distribution including under licensing agreements. The BAB franchised brand consists of units operating as “Big Apple Bagels®,” featuring daily baked bagels, flavored cream cheeses, premium coffees, gourmet bagel sandwiches and other related products. BAB units are primarily concentrated in the Midwest and Western United States. The MFM brand consists of units operating as “My Favorite Muffin Gourmet Muffin Bakery®” (“MFM Bakery”), featuring a large variety of freshly baked muffins and coffees and units operating as “My Favorite Muffin Your All-Day Bakery Café®” (“MFM Cafe”) featuring these products as well as a variety of specialty bagel sandwiches and related products. The SweetDuet® is a branded self-serve frozen yogurt that can be added as an additional brand in a BAB location. Although the Company doesn't actively market Brewster's stand-alone franchises, Brewster's coffee products are sold in most franchised units. The Company is leveraging on the natural synergy of distributing muffin products in existing BAB units and, alternatively, bagel products and Brewster's Coffee in existing MFM units. The Company expects to continue to realize efficiencies in servicing the combined base of BAB and MFM franchisees. The Company has a minority interest in Athletes HQ Systems, Inc. (“AHQ”). AHQ franchises indoor baseball and softball practice and coaching facilities with knowledgeable instructors. The accompanying condensed consolidated financial statements are unaudited. These financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been omitted pursuant to such SEC rules and regulations; nevertheless, the Company believes that the disclosures are adequate to make the information presented not misleading. These financial statements and the notes hereto should be read in conjunction with the financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended November 30, 2022 which was filed February 24, 2023. In the opinion of the Company's management, the condensed consolidated financial statements for the unaudited interim period presented include all adjustments, including normal recurring adjustments, necessary to fairly present the results of such interim period and the financial position as of the end of said period. The results of operations for the interim period are not necessarily indicative of the results for the full year.

Note 2 - Summary of Significant

Note 2 - Summary of Significant Accounting Policies	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Significant Accounting Policies [Text Block]	2. Summary of Significant Accounting Policies Unaudited Consolidated Financial Statements The accompanying unaudited Condensed Consolidated Financial Statements of BAB, Inc. have been prepared pursuant to generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) for Form 10-Q. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of the financial statements and accompanying notes are in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reported periods. Actual results could differ from those estimates. Reclassifications Certain prior period amounts have been reclassified for consistency with the current year presentation. Cash and Cash Equivalents Cash and cash equivalents include cash on hand, demand deposits and treasury notes with banks and equity firms with original maturities of less than 90 days. The balance of bank accounts may, at times, exceed federally insured credit limits. The Company has not experienced any loss in such accounts and believes it is not subject to any significant credit risk related to cash at August 31, 2023. Accounts and Notes Receivable Receivables are carried at original invoice amount less estimates for doubtful accounts. Management determines the allowance for doubtful accounts by reviewing and identifying troubled accounts and by using historical collection experience. A receivable is considered to be past due if any portion of the receivable balance is outstanding 90 days past the due date. Receivables are written off when deemed uncollectible. Recoveries of receivables previously written off are recorded as income when received. Certain receivables have been converted to unsecured interest-bearing notes. Lease Receivable The Company leases restaurant equipment to a certain franchisee under a sales-type lease agreement. Under the terms of the agreement, title to the equipment passes to the customer once all lease payments have been made and a reasonable buy-out fee is paid. The Company retains title or a security interest in the equipment until such time. The sales and cost of sales are recognized at the inception of the lease. The profit or loss on the issuance of the lease is recorded in the period of commencement. The investment in sales-type leases consists of the sum of the minimum lease payments receivable less unearned interest income and, if applicable, estimated executory cost. Minimum lease payments are part of the lease agreement between the Company (as the lessor) and the franchisee (as the lessee). The discount rate implicit in the lease is used to calculate the present value of minimum lease payments. The minimum lease payments consist of the gross lease payments net of executory costs, if any. Unearned interest income is amortized to income over the lease term to produce a constant periodic rate of return on net investment in the lease. While revenue is recognized at the inception of the lease, the cash flow from the sales-type lease occurs over the course of the lease, which results in interest income and reduction of receivables. Property, Plant and Equipment Property, equipment and leasehold improvements are stated at cost less accumulated depreciation and amortization. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Estimated useful lives are 3 to 7 years for property and equipment and 10 years, or term of lease if less, for leasehold improvements. Maintenance and repairs are charged to expense as incurred. Expenditures that materially extend the useful lives of assets are capitalized. 2. Summary of Significant Accounting Policies (continued) Other Assets Other assets include a minority investment in AHQ Systems, Inc. The shares were issued to BAB, Inc. as compensation for consulting services and are valued at $2,250. The value of the investment is immaterial and has not been adjusted to fair market value. Advertising and Promotion Costs The Company expenses advertising and promotion costs as incurred. All advertising and promotion costs were related to the Company’s franchise operations. Leases The company accounts for leases under ASC 842. Lease arrangements are determined at the inception of the contract. Operating leases are included in operating lease right-of-use (“ROU”) assets and other current and long-term operating lease liabilities on the consolidated balance sheets. Finance leases are included in property and equipment, other current liabilities, and other long-term liabilities on the consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most leases do not provide an implicit rate, we use an incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and initial direct costs incurred. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The standard’s main goal is to improve financial reporting by requiring earlier recognition of credit losses on financing receivables and other financial assets in scope, including trade receivables. The amendments in this update broaden the information that an entity must consider in developing its expected credit loss estimate for assets measured either collectively or individually. The guidance in ASU 2016-13 is effective for public companies for fiscal years and for interim periods with those fiscal years beginning after December 15, 2023. The Company will adopt ASU 2016-13 for fiscal year ending November 30, 2025. In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The amendments in ASU 2019-12 are effective for public business entities for fiscal years beginning after December 15, 2023, including interim periods therein. Early adoption of the standard is permitted, including adoption in interim or annual periods for which financial statements have not yet been issued. The Company will adopt ASU 2019-12 for fiscal year ending November 30, 2025. Management does not believe that there are any recently issued and effective or not yet effective accounting pronouncements as of August 31, 2023 that would have or are expected to have any significant effect on the Company’s financial position, cash flows or income statement. Statement of Cash Flows The chart below shows the cash and restricted cash within the consolidated statements of cash flows as of August 31, 2023 and August 31, 2022 were as follows: August 31, 2023 August 31, 2022 Cash and cash equivalents $ 1,713,798 $ 1,543,815 Restricted cash 321,901 844,041 Total cash and restricted cash $ 2,035,699 $ 2,387,856

Note 3 - Revenue Recognition

Note 3 - Revenue Recognition	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	3. Revenue Recognition Franchise and related revenue The Company sells individual franchises. The franchise agreements typically require the franchisee to pay an initial, non-refundable fee prior to opening the respective location(s), and continuing royalty fees on a weekly basis based upon a percentage of franchisee net sales. The initial term of franchise agreements are typically 10 years. Subject to the Company’s approval, a franchisee may generally renew the franchise agreement upon its expiration. If approved, a franchisee may transfer a franchise agreement to a new or existing franchisee, at which point a transfer fee is typically paid by the current owner which then terminates that franchise agreement. A franchise agreement is signed with the new franchisee with no franchise fee required. If a contract is terminated prior to its term, it is a breach of contract and a penalty is assessed based on a formula reviewed and approved by management. Revenue generated from a contract breach is termed settlement income by the Company and included in licensing fees and other income. Under the terms of our franchise agreements, the Company typically promises to provide franchise rights, pre-opening services such as blueprints, operational materials, planning and functional training courses, and ongoing services, such as management of the marketing fund. The Company considers certain pre-opening activities and the franchise rights and related ongoing services to represent two separate performance obligations. The franchise fee revenue has been allocated to the two separate performance obligations using a residual approach. The Company has estimated the value of performance obligations related to certain pre-opening activities deemed to be distinct based on cost plus an applicable margin, and assigned the remaining amount of the initial franchise fee to the franchise rights and ongoing services. Revenue allocated to preopening activities is recognized when (or as) these services are performed. Revenue allocated to franchise rights and ongoing services is deferred until the store opens, and recognized on a straight-line basis over the duration of the agreement, as this ensures that revenue recognition aligns with the customer’s access to the franchise right. Royalty fees from franchised stores represent a 5% fee on net retail and wholesale sales of franchised units. Royalty revenues are recognized on an accrual basis using actual franchise receipts. Generally, franchisees report and remit royalties on a weekly basis. The majority of month-end receipts are recorded on an accrual basis based on actual numbers from reports received from franchisees shortly after the month-end. Estimates are utilized in certain instances where actual numbers have not been received and such estimates are based on the average of the last 10 weeks’ actual reported sales. Royalty revenue is recognized during the respective franchise agreement based on the royalties earned each period as the underlying franchise store sales occur. There are two items involving revenue recognition of contracts that require us to make subjective judgments: the determination of which performance obligations are distinct within the context of the overall contract and the estimated stand-alone selling price of each obligation. In instances where our contract includes significant customization or modification services, the customization and modification services are generally combined and recorded as one distinct performance obligation. 3. Revenue Recognition (continued) Gift Card Breakage Revenue The Company sells gift cards to its customers in its retail stores and through its Corporate office. The Company’s gift cards do not have an expiration date and are not redeemable for cash except where required by law. Revenue from gift cards is recognized upon redemption in exchange for product and reported within franchisee store revenue and the royalty and marketing fees are paid and shown in the Condensed Consolidated Statements of Income. Until redemption, outstanding customer balances are recorded as a liability. An obligation is recorded at the time of sale of the gift card and it is included in accrued expenses on the Company’s Condensed Consolidated Balance Sheets. The liability is reduced when the gift cards are redeemed by a franchise. Although there are no expiration dates for our gift cards, based on our analysis of historical gift card redemption patterns, we can reasonably estimate the amount of gift cards for which redemption is remote, which is referred to as “breakage.” The Company recognizes gift card breakage proportional to actual gift card redemptions on a quarterly basis and the corresponding revenue is included in licensing fees and other revenue. Significant judgments and estimates are required in determining the breakage rate and will be reassessed each quarter. Nontraditional and rebate revenue As part of the Company’s franchise agreements, the franchisee purchases products and supplies from designated vendors. The Company may receive various fees and rebates from the vendors and distributors on product purchases by franchisees. In addition, the Company may collect various initial fees, and those fees are classified as deferred revenue in the balance sheet and straight lined over the life of the contract as deferred revenue in the balance sheet. The Company does not possess control of the products prior to their transfer to the franchisee and products are delivered to franchisees directly from the vendor or their distributors. The Company recognizes the rebates as franchisees purchase products and supplies from vendors or distributors and recognizes the initial fees over the contract life and the fees are reported as licensing fees and other income in the Condensed Consolidated Statements of Income. Marketing Fund Franchise agreements require the franchisee to pay continuing marketing fees on a weekly basis, based on a percentage of franchisee sales. Marketing fees are not paid on franchise wholesale sales. The balance sheet includes marketing fund cash, which is the restricted cash, accounts receivable and unexpended marketing fund contributions. Although the marketing fees are not separate performance obligations distinct from the underlying franchise right, the Company acts as the principal as it is primarily responsible for the fulfillment and control of the marketing services. As a result, the Company records marketing fees in revenues and related marketing fund expenditures in expenses in the Condensed Consolidated Statement of Income. The Company historically presented the net activities of the marketing fund within the balance sheet in the Condensed Consolidated Balance Sheet. While this reclassification impacts the gross amount of reported revenue and expenses the amounts will be offsetting, and there is no impact on net income. 3. Revenue Recognition (continued) Disaggregation of Revenue The following table presents disaggregation of revenue from contracts with customers for the three months and nine months ended August 31, 2023 and August 31, 2022: For three months ended August 31, 2023 For three months ended August 31, 2022 For nine months ended August 31, 2023 For nine months ended August 31, 2022 Revenue recognized at a point in time Sign Shop revenue $ 100 $ - $ 2,278 $ 3,296 Settlement revenue - 5,319 12,500 16,750 Lease income - - - 5,319 Total revenue at a point in time 100 5,319 14,778 25,365 Revenue recognized over time Royalty revenue 515,970 481,833 1,453,511 1,361,545 Franchise fees 11,306 15,882 22,707 33,961 License fees 3,378 4,609 12,967 13,365 Gift card revenue 1,172 952 3,273 3,512 Nontraditional revenue 59,239 86,292 168,865 199,002 Marketing fund revenue 345,486 287,402 870,543 808,279 Total revenue over time 936,551 876,970 2,531,866 2,419,664 Grand total $ 936,651 $ 882,289 $ 2,546,644 $ 2,445,029 Contract balances The balance of contract liabilities includes franchise fees, license fees and vendor payments that have ongoing contract rights and the fees are being straight lined over the contract life. Contract liabilities also include marketing fund balances and gift card liability balances. August 31, 2023 November 30, 2022 Liabilities Contract liabilities - current $ 617,372 $ 563,895 Contract liabilities - long-term 143,694 128,465 Total Contract Liabilities $ 761,066 $ 692,360 August 31, 2023 November 30, 2022 Contracts at beginning of period $ 692,360 $ 972,470 Revenue Recognized during period (1,139,434 ) (1,742,303 ) Additions during period 1,208,140 1,462,193 Contracts at end of period $ 761,066 $ 692,360 3. Revenue Recognition (continued) Transaction price allocated to remaining performance obligations (franchise agreements and license fee agreement) for the year ended November 30: 2023 16,342 (a) 2024 26,246 2025 34,054 2026 18,632 2027 15,404 Thereafter 71,109 Total $ 181,787 (a) represents the estimate for the remainder of 2023

Note 4 - Units Open and Under D

Note 4 - Units Open and Under Development	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Units Open and Under Development [Text Block]	4. Units Open and Under Development Units which are open or under development at August 31, 2023 and 2022 are as follows: August 31, 2023 August 31, 2022 Stores open: Franchisee-owned stores 66 69 Licensed Units 3 4 69 73 Unopened stores with Franchise Agreements 5 1 Total operating units and units with Franchise Agreements 74 74

Note 5 - Earnings Per Share

Note 5 - Earnings Per Share	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Earnings Per Share [Text Block]	5. Earnings per Share The following table sets forth the computation of basic and diluted earnings per share: For the three months ended: For the nine months ended: August 31, 2023 August 31, 2022 August 31, 2023 August 31, 2022 Numerator: Net income available to common shareholders $ 167,758 $ 164,355 $ 329,606 $ 321,161 Denominator: Weighted average outstanding shares Basic and diluted common stock 7,263,508 7,263,508 7,263,508 7,263,508 Earnings per Share - Basic $ 0.02 $ 0.02 $ 0.05 $ 0.04

Note 6 - Goodwill and Other Int

Note 6 - Goodwill and Other Intangible Assets	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Goodwill and Intangible Assets Disclosure [Text Block]	6. Goodwill and Other Intangible Assets Accounting Standard Codification (“ASC”) 350 “Goodwill and Other Intangible Assets” requires that assets with indefinite lives no longer be amortized, but instead be subject to annual impairment tests. Following the guidelines contained in ASC 350, the Company tests goodwill and intangible assets that are not subject to amortization for impairment annually or more frequently if events or circumstances indicate that impairment is possible. The Company has elected to conduct its annual test during the first quarter. During the quarter ended February 28, 2023 and February 28, 2022, management qualitatively assessed goodwill to determine whether testing was necessary. Factors that management considers in this assessment include macroeconomic conditions, industry and market considerations, overall financial performance (both current and projected), changes in management and strategy, and changes in the composition and carrying amounts of net assets. If this qualitative assessment indicates that it is more likely than not that the fair value of a reporting unit is less than it’s carrying value, a quantitative assessment is then performed. Based on the qualitative analysis conducted during the quarter, management does not believe that an impairment existed at August 31, 2023.

Note 7 - Lease Receivable Commi

Note 7 - Lease Receivable Commitments	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Lessor, Sales-type Leases [Text Block]	7. Lease Receivable Commitments The Company leases restaurant equipment to a certain franchise under a sales-type lease agreement. The lease agreement does not contain any non-lease components. The lease term is for a period of seven years, beginning June 1, 2022 and ending June 1, 2029. The lease requires weekly payments of $121 for a total 365 payments, and a final optional buy-out payment of $4,800, which management believes estimates residual value. At August 31, 2023, management does not believe the unguaranteed residual asset value of $4,800 to be impaired. During the nine months ending August 31, 2023, the Company recorded interest income from the lease receivable of $349. The sales lease is included in the balance sheet at the current value of the lease payments at a 1.25% discount rate, which reflects the rate implicit in the lease agreement. Future minimum lease payments receivable as of August 31, 2023 are as follows: Undiscounted Lease Payments Year Ending November 30: 2023 $ 1,570 2024 6,283 2025 6,283 2026 6,283 2027 6,283 thereafter 14,347 Total Undiscounted Lease Payments $ 41,049 Unamortized interest income (1,280 ) Lease receivable, net $ 39,769 Short-term lease receivable $ 5,882 Long-term lease receivable 33,887 Total lease receivable $ 39,769

Note 8 - Lease Commitments

Note 8 - Lease Commitments	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Commitments Disclosure [Text Block]	8. Lease Commitments The Company rents its office under an operating lease which requires it to pay base rent, real estate taxes, insurance and general repairs and maintenance. A lease was signed in June of 2018, effective October 1, 2018, expiring on March 31, 2024 with an option to renew for a 5-year period. A six Monthly rent expense is recognized on a straight-line basis over the term of the lease. At August 31, 2023 the remaining lease term was 7 months. The operating lease is included in the balance sheet at the present value of the lease payments at a 5.25% discount rate. The discount rate was considered to be an estimate of the Company’s incremental borrowing rate. Gross future minimum annual rental commitments as of August 31, 2023 are as follows: Undiscounted Rent Payments Year Ending November 30: 2023 29,911 2024 40,177 Total Undiscounted Rent Payments $ 70,088 Present Value Discount (1,000 ) Present Value $ 69,088 Short-term lease liability $ 69,088 Long-term lease liability - Total Operating Lease Liability $ 69,088

Note 9 - Income Taxes

Note 9 - Income Taxes	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Income Tax Disclosure [Text Block]	9. Income Taxes For the three months ended August 31, 2023, the Company recorded current and deferred tax expense of $66,100 for an effective tax rate of 28.3% compared to $64,746 of current and deferred tax expense for the three months ended August 31, 2022 for an effective tax rate of 28.3%. For the nine months ended August 31, 2023, the Company recorded current and deferred tax expense of $130,300 for an effective tax rate of 28.3% compared to $128,587 of current and deferred tax expense for the nine months ended August 31, 2022 for an effective tax rate of 28.6%.

Note 10 - Stockholder's Equity

Note 10 - Stockholder's Equity	9 Months Ended
	Aug. 31, 2023
Notes to Financial Statements
Equity [Text Block]	10. Stockholder ’ s Equity On September 12, 2023 the Board of Directors (“Board”) declared a $0.01 distribution/dividend per share to stockholders of record as of September 28, 2023, payable October 18, 2023. On June 6, 2023 the Board declared a $0.01 distribution/dividend per share to stockholders of record as of June 22, 2023, paid on July 11, 2023. On March 13, 2023 the Board declared a $0.01 distribution/dividend per share to stockholders of record as of March 30, 2023, paid on April 19, 2023. On December 07, 2022 the Board declared a $0.02 cash distribution/dividend per share, $0.01 quarterly and $0.01 special, to stockholders of record as of December 22, 2022 , . On September 9, 2022 the Board declared a $0.01 distribution/dividend per share to stockholders of record as of September 28, 2022, paid October 20, 2022. On June 3, 2022 the Board declared a $0.01 distribution/dividend per share to stockholders of record as of June 22, 2022, paid July 11, 2022. On March 7, 2022 the Board declared a $0.01 cash distribution/dividend per share to stockholders of record as of March 29, 2022, paid April 18, 2022. On December 06, 2021 the Board declared a $0.01 cash distribution/dividend per share to stockholders of record as of December 22, 2021, paid January 11, 2022. On May 6, 2013, the Board authorized and declared a dividend distribution of one right for each outstanding share of the common stock of the Company to stockholders of record at the close of business on May 13, 2013. Each right entitles the registered holder to purchase from the Company one one-thousandth of a share of the Series A Participating Preferred Stock of the Company at an exercise price of $0.90 per one-thousandth of a Preferred Share, subject to adjustment. The complete terms of the Rights are set forth in a Preferred Shares Rights Agreement, dated May 6, 2013, between the Company and IST Shareholder Services, as rights agent. The Board adopted the Rights Agreement to protect stockholders from coercive or otherwise unfair takeover tactics. In general terms, it works by imposing a significant penalty upon any person or group that acquires 15% (or 20% in the case of certain institutional investors who report their holdings on Schedule 13G) or more of the Common Shares without the approval of the Board. As a result, the overall effect of the Rights Agreement and the issuance of the Rights may be to render more difficult a merger, tender or exchange offer or other business combination involving the Company that is not approved by the Board. However, neither the Rights Agreement nor the Rights should interfere with any merger, tender or exchange offer or other business combination approved by the Board. Full details about the Rights Plan are contained in a Form 8-K filed by the Company with the U.S. Securities and Exchange Commission on May 7, 2013. On June 18, 2014 an amendment to the Preferred Shares Rights Agreement was filed appointing American Stock Transfer & Trust Company, LLC as successor to Illinois Stock Transfer Company. All original rights and provisions remain unchanged. On August 18, 2015 an amendment was filed to the Preferred Shares Rights Agreement changing the final expiration date to mean the fifth anniversary of the date of the original agreement. All other original rights and provisions remain the same. On May 22, 2017 an amendment was filed extending the final expiration date to mean the seventh anniversary date of the original agreement. All other original rights and provisions remain the same. On February 22, 2019 an amendment was filed extending the final expiration date to mean the ninth anniversary date of the original agreement. All other original rights and provisions remain the same. On March 4, 2021 an amendment was filed extending the final expiration date to mean the eleventh anniversary date of the original agreement. All other original rights and provisions remain the same. On April 4, 2023 an amendment was filed extending the final expiration date to mean the fourteenth anniversary date of the original agreement. All other original rights and provisions remain the same.

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Aug. 31, 2023
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Unaudited Consolidated Financial Statements The accompanying unaudited Condensed Consolidated Financial Statements of BAB, Inc. have been prepared pursuant to generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) for Form 10-Q. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of the financial statements and accompanying notes are in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reported periods. Actual results could differ from those estimates.
Reclassification, Comparability Adjustment [Policy Text Block]	Reclassifications Certain prior period amounts have been reclassified for consistency with the current year presentation.
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and Cash Equivalents Cash and cash equivalents include cash on hand, demand deposits and treasury notes with banks and equity firms with original maturities of less than 90 days. The balance of bank accounts may, at times, exceed federally insured credit limits. The Company has not experienced any loss in such accounts and believes it is not subject to any significant credit risk related to cash at August 31, 2023.
Receivable [Policy Text Block]	Accounts and Notes Receivable Receivables are carried at original invoice amount less estimates for doubtful accounts. Management determines the allowance for doubtful accounts by reviewing and identifying troubled accounts and by using historical collection experience. A receivable is considered to be past due if any portion of the receivable balance is outstanding 90 days past the due date. Receivables are written off when deemed uncollectible. Recoveries of receivables previously written off are recorded as income when received. Certain receivables have been converted to unsecured interest-bearing notes.
Lease Receivable [Policy Text Block]	Lease Receivable The Company leases restaurant equipment to a certain franchisee under a sales-type lease agreement. Under the terms of the agreement, title to the equipment passes to the customer once all lease payments have been made and a reasonable buy-out fee is paid. The Company retains title or a security interest in the equipment until such time. The sales and cost of sales are recognized at the inception of the lease. The profit or loss on the issuance of the lease is recorded in the period of commencement. The investment in sales-type leases consists of the sum of the minimum lease payments receivable less unearned interest income and, if applicable, estimated executory cost. Minimum lease payments are part of the lease agreement between the Company (as the lessor) and the franchisee (as the lessee). The discount rate implicit in the lease is used to calculate the present value of minimum lease payments. The minimum lease payments consist of the gross lease payments net of executory costs, if any. Unearned interest income is amortized to income over the lease term to produce a constant periodic rate of return on net investment in the lease. While revenue is recognized at the inception of the lease, the cash flow from the sales-type lease occurs over the course of the lease, which results in interest income and reduction of receivables.
Property, Plant and Equipment, Policy [Policy Text Block]	Property, Plant and Equipment Property, equipment and leasehold improvements are stated at cost less accumulated depreciation and amortization. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Estimated useful lives are 3 to 7 years for property and equipment and 10 years, or term of lease if less, for leasehold improvements. Maintenance and repairs are charged to expense as incurred. Expenditures that materially extend the useful lives of assets are capitalized.
Other Assets, Policy [Policy Text Block]	Other Assets Other assets include a minority investment in AHQ Systems, Inc. The shares were issued to BAB, Inc. as compensation for consulting services and are valued at $2,250. The value of the investment is immaterial and has not been adjusted to fair market value.
Advertising Cost [Policy Text Block]	Advertising and Promotion Costs The Company expenses advertising and promotion costs as incurred. All advertising and promotion costs were related to the Company’s franchise operations.
Lessee, Leases [Policy Text Block]	Leases The company accounts for leases under ASC 842. Lease arrangements are determined at the inception of the contract. Operating leases are included in operating lease right-of-use (“ROU”) assets and other current and long-term operating lease liabilities on the consolidated balance sheets. Finance leases are included in property and equipment, other current liabilities, and other long-term liabilities on the consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most leases do not provide an implicit rate, we use an incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and initial direct costs incurred. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The standard’s main goal is to improve financial reporting by requiring earlier recognition of credit losses on financing receivables and other financial assets in scope, including trade receivables. The amendments in this update broaden the information that an entity must consider in developing its expected credit loss estimate for assets measured either collectively or individually. The guidance in ASU 2016-13 is effective for public companies for fiscal years and for interim periods with those fiscal years beginning after December 15, 2023. The Company will adopt ASU 2016-13 for fiscal year ending November 30, 2025. In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes,” which is intended to simplify various aspects related to accounting for income taxes. ASU 2019-12 removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The amendments in ASU 2019-12 are effective for public business entities for fiscal years beginning after December 15, 2023, including interim periods therein. Early adoption of the standard is permitted, including adoption in interim or annual periods for which financial statements have not yet been issued. The Company will adopt ASU 2019-12 for fiscal year ending November 30, 2025. Management does not believe that there are any recently issued and effective or not yet effective accounting pronouncements as of August 31, 2023 that would have or are expected to have any significant effect on the Company’s financial position, cash flows or income statement.
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block]	Statement of Cash Flows The chart below shows the cash and restricted cash within the consolidated statements of cash flows as of August 31, 2023 and August 31, 2022 were as follows: August 31, 2023 August 31, 2022 Cash and cash equivalents $ 1,713,798 $ 1,543,815 Restricted cash 321,901 844,041 Total cash and restricted cash $ 2,035,699 $ 2,387,856

Note 2 - Summary of Significa_2

Note 2 - Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Aug. 31, 2023
Notes Tables
Cash, Cash Equivalents, and Restricted Cash, Cash Flow Statement Reconciliation [Table Text Block]	August 31, 2023 August 31, 2022 Cash and cash equivalents $ 1,713,798 $ 1,543,815 Restricted cash 321,901 844,041 Total cash and restricted cash $ 2,035,699 $ 2,387,856

Note 3 - Revenue Recognition (T

Note 3 - Revenue Recognition (Tables)	9 Months Ended
	Aug. 31, 2023
Notes Tables
Disaggregation of Revenue [Table Text Block]	For three months ended August 31, 2023 For three months ended August 31, 2022 For nine months ended August 31, 2023 For nine months ended August 31, 2022 Revenue recognized at a point in time Sign Shop revenue $ 100 $ - $ 2,278 $ 3,296 Settlement revenue - 5,319 12,500 16,750 Lease income - - - 5,319 Total revenue at a point in time 100 5,319 14,778 25,365 Revenue recognized over time Royalty revenue 515,970 481,833 1,453,511 1,361,545 Franchise fees 11,306 15,882 22,707 33,961 License fees 3,378 4,609 12,967 13,365 Gift card revenue 1,172 952 3,273 3,512 Nontraditional revenue 59,239 86,292 168,865 199,002 Marketing fund revenue 345,486 287,402 870,543 808,279 Total revenue over time 936,551 876,970 2,531,866 2,419,664 Grand total $ 936,651 $ 882,289 $ 2,546,644 $ 2,445,029
Contract With Customer Asset and Liability, Subject to Change [Table Text Block]	August 31, 2023 November 30, 2022 Liabilities Contract liabilities - current $ 617,372 $ 563,895 Contract liabilities - long-term 143,694 128,465 Total Contract Liabilities $ 761,066 $ 692,360
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block]	August 31, 2023 November 30, 2022 Contracts at beginning of period $ 692,360 $ 972,470 Revenue Recognized during period (1,139,434 ) (1,742,303 ) Additions during period 1,208,140 1,462,193 Contracts at end of period $ 761,066 $ 692,360
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Table Text Block]	2023 16,342 (a) 2024 26,246 2025 34,054 2026 18,632 2027 15,404 Thereafter 71,109 Total $ 181,787

Note 4 - Units Open and Under_2

Note 4 - Units Open and Under Development (Tables)	9 Months Ended
	Aug. 31, 2023
Notes Tables
Schedule of Franchisor Disclosure [Table Text Block]	August 31, 2023 August 31, 2022 Stores open: Franchisee-owned stores 66 69 Licensed Units 3 4 69 73 Unopened stores with Franchise Agreements 5 1 Total operating units and units with Franchise Agreements 74 74

Note 5 - Earnings Per Share (Ta

Note 5 - Earnings Per Share (Tables)	9 Months Ended
	Aug. 31, 2023
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	For the three months ended: For the nine months ended: August 31, 2023 August 31, 2022 August 31, 2023 August 31, 2022 Numerator: Net income available to common shareholders $ 167,758 $ 164,355 $ 329,606 $ 321,161 Denominator: Weighted average outstanding shares Basic and diluted common stock 7,263,508 7,263,508 7,263,508 7,263,508 Earnings per Share - Basic $ 0.02 $ 0.02 $ 0.05 $ 0.04

Note 7 - Lease Receivable Com_2

Note 7 - Lease Receivable Commitments (Tables)	9 Months Ended
	Aug. 31, 2023
Notes Tables
Sales-Type and Direct Financing Leases, Payment to be Received, Maturity [Table Text Block]	Undiscounted Lease Payments Year Ending November 30: 2023 $ 1,570 2024 6,283 2025 6,283 2026 6,283 2027 6,283 thereafter 14,347 Total Undiscounted Lease Payments $ 41,049 Unamortized interest income (1,280 ) Lease receivable, net $ 39,769 Short-term lease receivable $ 5,882 Long-term lease receivable 33,887 Total lease receivable $ 39,769

Note 8 - Lease Commitments (Tab

Note 8 - Lease Commitments (Tables)	9 Months Ended
	Aug. 31, 2023
Notes Tables
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block]	Undiscounted Rent Payments Year Ending November 30: 2023 29,911 2024 40,177 Total Undiscounted Rent Payments $ 70,088 Present Value Discount (1,000 ) Present Value $ 69,088 Short-term lease liability $ 69,088 Long-term lease liability - Total Operating Lease Liability $ 69,088

Note 1 - Nature of Operations (

Note 1 - Nature of Operations (Details Textual)	Aug. 31, 2023	Aug. 31, 2022
Number of Wholly Owned Subsidiaries	3
Number of Stores	74	74
Number of States in which Entity Operates	20
Franchised Units [Member]
Number of Stores	66	69
Licensed Units [Member]
Number of Stores	3	4
Units Under Development [Member]
Number of Stores	5

Note 2 - Summary of Significa_3

Note 2 - Summary of Significant Accounting Policies (Details Textual) - USD ($)	Aug. 31, 2023	Nov. 30, 2022
Other Assets	$ 2,250	$ 2,250
Leasehold Improvements [Member]
Property, Plant and Equipment, Useful Life	10 years
Minimum [Member]
Property, Plant and Equipment, Useful Life	3 years
Maximum [Member]
Property, Plant and Equipment, Useful Life	7 years

Note 2 - Summary of Significa_4

Note 2 - Summary of Significant Accounting Policies - Summary of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($)	Aug. 31, 2023	Nov. 30, 2022	Aug. 31, 2022	Nov. 30, 2021
Cash and cash equivalents	$ 1,713,798	$ 1,623,256	$ 1,543,815
Restricted cash	321,901		844,041
Total cash and restricted cash	$ 2,035,699	$ 1,902,661	$ 2,387,856	$ 2,058,158

Note 3 - Revenue Recognition (D

Note 3 - Revenue Recognition (Details Textual)	9 Months Ended
	Aug. 31, 2023
Initial Franchise Term	10 years
Royalty Fees From Franchises Percentage	5%

Note 3 - Revenue Recognition -

Note 3 - Revenue Recognition - Disaggregation of Revenue (Details) - USD ($)	3 Months Ended		9 Months Ended
	Aug. 31, 2023	Aug. 31, 2022	Aug. 31, 2023	Aug. 31, 2022
Revenues	$ 936,651	$ 882,289	$ 2,546,644	$ 2,445,029
Transferred at Point in Time [Member]
Revenues	100	5,319	14,778	25,365
Transferred over Time [Member]
Revenues	936,551	876,970	2,531,866	2,419,664
Sign Shop [Member] | Transferred at Point in Time [Member]
Revenues	100	0	2,278	3,296
Structured Settlement Annuity [Member] | Transferred at Point in Time [Member]
Revenues	0	5,319	12,500	16,750
Lease Income [Member] | Transferred at Point in Time [Member]
Revenues	0	0	0	5,319
Royalty [Member]
Revenues	515,970	481,833	1,453,511	1,361,545
Royalty [Member] | Transferred over Time [Member]
Revenues	515,970	481,833	1,453,511	1,361,545
Franchise [Member]
Revenues	11,306	15,882	22,707	33,961
Franchise [Member] | Transferred over Time [Member]
Revenues	11,306	15,882	22,707	33,961
License [Member] | Transferred over Time [Member]
Revenues	3,378	4,609	12,967	13,365
Gift Card [Member] | Transferred over Time [Member]
Revenues	1,172	952	3,273	3,512
Non-traditional Revenue [Member] | Transferred over Time [Member]
Revenues	59,239	86,292	168,865	199,002
Marketing Fund [Member]
Revenues	345,486	287,402	870,543	808,279
Marketing Fund [Member] | Transferred over Time [Member]
Revenues	$ 345,486	$ 287,402	$ 870,543	$ 808,279

Note 3 - Revenue Recognition _2

Note 3 - Revenue Recognition - Contract Balances Subject to ASC 606 (Details) - USD ($)	Aug. 31, 2023	Nov. 30, 2022
Contract liabilities - long-term	$ 143,694	$ 128,465
Total Contract Liabilities	761,066	692,360
Contract Liabilities, Current and Accrued Expenses and Other Current Liabilities [Member]
Contract liabilities - current	$ 617,372	$ 563,895

Note 3 - Revenue Recognition _3

Note 3 - Revenue Recognition - Changes in Contract Balances (Details) - USD ($)	9 Months Ended
	Aug. 31, 2023	Aug. 31, 2022
Contracts at beginning of period	$ 692,360	$ 972,470
Revenue Recognized during period	(1,139,434)	(1,742,303)
Additions during period	1,208,140	1,462,193
Contracts at end of period	$ 761,066	$ 692,360

Note 3 - Revenue Recognition _4

Note 3 - Revenue Recognition - Remaining Performance Obligations (Details)	Aug. 31, 2023 USD ($)
Revenue, Remaining Performance Obligation, Amount	$ 181,787

Note 3 - Revenue Recognition _5

Note 3 - Revenue Recognition - Remaining Performance Obligations 2 (Details)	Aug. 31, 2023 USD ($)
Revenue, Remaining Performance Obligation, Amount	$ 181,787
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-09-01
Revenue, Remaining Performance Obligation, Amount	16,342	[1]
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-06-01
Revenue, Remaining Performance Obligation, Amount	26,246
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-06-01
Revenue, Remaining Performance Obligation, Amount	34,054
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-06-01
Revenue, Remaining Performance Obligation, Amount	18,632
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-06-01
Revenue, Remaining Performance Obligation, Amount	15,404
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-06-01
Revenue, Remaining Performance Obligation, Amount	$ 71,109
[1]represents the estimate for the remainder of 2023

Note 4 - Units Open and Under_3

Note 4 - Units Open and Under Development - Operating Units (Details)	Aug. 31, 2023	Aug. 31, 2022
Operating Units and Units with Franchise Agreements	74	74
Franchised Units [Member]
Operating Units and Units with Franchise Agreements	66	69
Licensed Units [Member]
Operating Units and Units with Franchise Agreements	3	4
Total Franchised Owned and Licensed Units [Member]
Operating Units and Units with Franchise Agreements	69	73
Unopened Store [Member]
Operating Units and Units with Franchise Agreements	5	1

Note 5 - Earnings Per Share - C

Note 5 - Earnings Per Share - Computation of Earnings Per Share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Aug. 31, 2023	Aug. 31, 2022	Aug. 31, 2023	Aug. 31, 2022
Net income available to common stockholders	$ 167,758	$ 164,355	$ 329,606	$ 321,161
Weighted average shares outstanding - Basic and diluted (in shares)	7,263,508	7,263,508	7,263,508	7,263,508
Net Income per share - Basic and Diluted (in dollars per share)	$ 0.02	$ 0.02	$ 0.05	$ 0.04

Note 7 - Lease Receivable Com_3

Note 7 - Lease Receivable Commitments (Details Textual) - USD ($)		9 Months Ended
	Jun. 01, 2022	Aug. 31, 2023
Lessor, Sales Type Lease, Weekly Payments	$ 121
Lessor, Sales-type Lease, Optional Buy-out Payment	$ 4,800
Sales-type Lease, Residual Value of Leased Asset		$ 4,800
Lease Income, Total		$ 349
Lessor, Sales Type Lease, Applicable Discount Rate		1.25%

Note 7 - Lease Receivable Com_4

Note 7 - Lease Receivable Commitments - Future Minimum Lease Payments Receivable (Details)	Aug. 31, 2023 USD ($)
2023	$ 1,570
2024	6,283
2025	6,283
2026	6,283
2027	6,283
thereafter	14,347
Total Undiscounted Lease Payments	41,049
Unamortized interest income	(1,280)
Lease receivable, net	39,769
Short-term lease receivable	5,882
Long-term lease receivable	33,887
Total lease receivable	$ 39,769

Note 8 - Lease Commitments (Det

Note 8 - Lease Commitments (Details Textual) - USD ($)	Oct. 01, 2018	Aug. 31, 2023
Lessee, Operating Lease, Renewal Term	5 years
Lessee, Operating Lease, Rent Abatement and Tenant Allowance Period	6 months
Operating Lease, Expense	$ 21,300
Lessee, Operating Lease, Remaining Lease Term		7 months
Lessee, Operating Lease, Discount Rate		5.25%

Note 8 - Lease Commitments - Gr

Note 8 - Lease Commitments - Gross Future Minimum Annual Rental Commitments (Details) - USD ($)	Aug. 31, 2023	Nov. 30, 2022
2023	$ 29,911
2024	40,177
Total Undiscounted Rent Payments	70,088
Present Value Discount	(1,000)
Operating Lease, Liability	69,088
Current portion operating lease liability	69,088	$ 113,883
Long-term lease liability	$ 0	$ 39,819

Note 9 - Income Taxes (Details

Note 9 - Income Taxes (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Aug. 31, 2023	Aug. 31, 2022	Aug. 31, 2023	Aug. 31, 2022
Income Tax Expense (Benefit)	$ 66,100	$ 64,746	$ 130,300	$ 128,587
Effective Income Tax Rate Reconciliation, Percent	28.30%	28.30%	28.30%	28.60%

Note 10 - Stockholder's Equity

Note 10 - Stockholder's Equity (Details Textual) - $ / shares

3 Months Ended

9 Months Ended

Sep. 12, 2023

Jun. 06, 2023

Mar. 13, 2023

Dec. 07, 2022

Dec. 07, 2022

Sep. 09, 2022

Jun. 03, 2022

Mar. 07, 2022

Dec. 06, 2021

Aug. 31, 2023

Aug. 31, 2022

Aug. 31, 2023

Aug. 31, 2022

May 06, 2013

Common Stock, Dividends, Per Share, Declared

$ 0.02

$ 0.01

$ 0.01

$ 0.04

$ 0.03

Preferred Stock Dividends Number of Rights Minimum Percent of Common Stock that must be Acquired to Make Rights Exercisable

15%

Preferred Stock Dividends Number of Rights Minimum Percent of Common Stock that Must be Acquired to Make Rights Exercisable, Institutional Investors

20%

Right to Purchase Series A Preferred Stock [Member]

Class of Warrant or Right, Exercise Price of Warrants or Rights

$ 0.90

Quarterly Dividend [Member]

Common Stock, Dividends, Per Share, Declared

$ 0.01

$ 0.01

$ 0.01

$ 0.01

$ 0.01

$ 0.01

$ 0.01

$ 0.01

Special Cash Distribution [Member]

Common Stock, Dividends, Per Share, Declared

$ 0.01