What was the total amount of long-term debt, net, for 360 Painting in 2024?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
| ---------- | ----------------- | ---- | ----------- |
|---|---|---|---|
| Prepaid commissions | $ 7,881,145 | $ | 7,062,651 |
| Notes receivable | 7,429 | 34,628 | |
| Total other long-term assets | $ 7,888,574 | $ | 7,097,279 |
8. Long-term Debt
Long-term debt consisted of the following as of December 31, 2024 and 2023:
| 2024 | 2023 | |
|---|---|---|
| Term loan | $ 11,864,500 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, the total amount of long-term debt, net, for the company in 2024 was $20,436,661. This figure represents the balance of the company's term loans, delayed draw term loans, and revolving loans, less the current portion and unamortized deferred loan costs.
For a prospective franchisee, this debt level is an important indicator of 360 Painting's financial leverage and overall financial health. A high level of debt could indicate higher risk, as the company has significant obligations to its lenders. However, it could also reflect investments in growth and expansion.
It is important to note that this long-term debt is collateralized by substantially all of the assets of 360 Painting. Prospective franchisees should consider this information in conjunction with other financial metrics and information provided in the FDD to assess the financial stability of 360 Painting.