What are the future maturities of long-term debt for 360 Painting in 2026?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
2.25%), and (iv) three and one-half of one percent (3.50%) per annum. The base rate premium is 4.75% per annum for any term loan or delayed draw term loan and 0.75% per annum for revolving loans. The SOFR premium is 7.25% per annum for any term loan or delayed draw term loan and 3.25% per annum for revolving loans.
As of December 31, 2024, all borrowing under the Amended Credit Facility were SOFR loans with effective interest rates ranging from 7.92% to 12.08% for term, delayed draw term, and revolving loans. The Amended Credit Agreement provides for an annual commitment fee of 0.5% per annum on the excess of the maximum available credit on the revolving loans over average borrowings.
Substantially all of the assets of the Company collateralize the Amended Credit Agreement. The Amended Credit Agreement requires, among other things, maintenance by the Company of minimum levels of cash flow coverage, leverage to EBITDA ratios, and also limits capital expenditures. As of December 31, 2024, the Compan
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, 360 Painting's long-term debt is detailed as of December 31, 2024. The document states that the Credit Agreement, which governs the long-term debt, expires on September 17, 2026.
However, the FDD does not provide a specific breakdown of the debt maturities for the year 2026. The available information includes the balances of term loans, delayed draw term loans, and revolving loans as of December 31, 2024, but it does not project the amounts due in 2026.
For a prospective franchisee, this means that while the FDD offers insight into the company's debt structure and repayment obligations as of the end of 2024, it lacks the specific figures needed to assess the debt obligations falling due in 2026. It would be prudent for a potential franchisee to directly request this information from 360 Painting to gain a clearer understanding of the company's financial commitments in that year and how they might impact the franchisor's ability to support its franchisees.