What was the amount of deposits listed as a current liability for 1-800-GOT-JUNK? as of December 31, 2024?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
Current liabilities: Accounts payable and accrued liabilities $ 4,138,456 $ 3,250,709 Payable to franchise partners
13,842,336 4,635,948 Current portion of deferred revenue
521,102 371,261 Due to related parties 8,910,939 6,860,368 Deposits 201,162
Withholding tax payable
165,380 49,938
Source: Item 21 — Financial Statements (FDD page 56)
What This Means (2025 FDD)
According to 1-800-GOT-JUNK?'s 2025 Franchise Disclosure Document, the consolidated balance sheets show that as of December 31, 2023, deposits were listed as a current liability of $201,162. There is no corresponding value listed for December 31, 2024; instead, a hyphen "-" is shown. This indicates that the deposit liability was zero at the end of 2024.
For a prospective franchisee, understanding the liabilities of 1-800-GOT-JUNK? is crucial. Current liabilities, like deposits, represent obligations that are due within a year. The absence of deposit liabilities in 2024 could suggest a change in how 1-800-GOT-JUNK? manages its finances or a shift in its operational practices compared to the previous year.
It is important to note that the provided financial statements are consolidated, meaning they reflect the financial position of 1-800-GOT-JUNK? LLC and its subsidiaries. Therefore, these figures provide an overall view, and further details might be necessary to understand the specifics behind the changes in deposit liabilities. A potential franchisee should seek clarification from 1-800-GOT-JUNK? regarding the reasons for the change from $201,162 in 2023 to zero in 2024.
Understanding the reasons behind fluctuations in liabilities can help a franchisee assess the financial stability and management practices of 1-800-GOT-JUNK?. This information, combined with other due diligence efforts, will contribute to making a well-informed investment decision.