What amount was due to 1-800-GOT-JUNK? from Shack Shine Home Services LLC in 2022?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
o related parties include: • $8,233,500 (2022 - $6,226,878) due to RBDS. • $643,332 (2022 - $599,965) due to 1-800-GOT-JUNK? Commercial Services (Canada), Inc. • $34,107 (2022 - nil) due to 1-800-GOT-JUNK? (Australia), Pty Ltd. • nil (2022 - $11,059) due to O2E Brands Inc. • nil (2022 - $17,135) due to Shack Shine Home Services LLC. • nil (2022 - $5,331) due to Shack Shine Home Services Inc. Also included in accounts payable and accrued liabilities are $1,456,290 (2022 - $451,434) due to RBDS. The related party receivables and payables are all with companies that are under common control.
Source: Item 21 — Financial Statements (FDD page 56)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, Shack Shine Home Services LLC owed 1-800-GOT-JUNK? $17,135 in 2022. This is listed under related party transactions and balances. These balances are with companies under common control.
These related party balances are unsecured, non-interest bearing, have no fixed terms of repayment, and are considered operating in nature. This means that there is no collateral backing the amount owed, interest is not accruing on the balance, and there is no set date for when the balance must be paid.
As a prospective franchisee, it is important to understand the financial relationships between 1-800-GOT-JUNK? and its related parties. Reviewing the complete financial statements and asking the franchisor for further clarification on these transactions can provide a better understanding of the company's financial health.