What was the total amount of 360 Painting's accrued and other liabilities in 2023?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |
|---|---|---|
| Liabilities and Members' Deficit | ||
| Current liabilities | ||
| Accounts payable | $ 434,745 $ | 435,883 |
| Accrued and other liabilities | 3,365,005 | 3,368,024 |
| Deferred revenue, current | 2,041,424 | 1,860,040 |
| Lease liability, current portion | 150,635 | 124,701 |
| Current maturities of long-term debt | 609,375 | 599,500 |
| Total current liabilities | 6,601,184 | 6,388,148 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, the company's accrued and other liabilities totaled $3,368,024 in 2023. This figure represents the obligations 360 Painting had accumulated but not yet paid as of the end of that year. These liabilities can include items such as accrued salaries, taxes, and other operational expenses.
For a prospective franchisee, understanding the accrued and other liabilities of 360 Painting provides insight into the company's short-term financial obligations. A high level of accrued liabilities might indicate that the company has significant upcoming payments, which could affect its cash flow. Conversely, a lower amount might suggest better management of short-term obligations.
It's important to note that accrued liabilities are a normal part of business operations. However, franchisees should consider this figure in conjunction with other financial metrics to gain a comprehensive understanding of 360 Painting's financial health. This includes comparing the accrued liabilities to the company's assets and revenues to assess its ability to meet its obligations.