What was the total amount of accrued wages and benefits for 7 Brew as of December 25, 2022?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
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Note 3: Accounts Payable and Accrued Expenses
Accounts payable and accrued expenses consist of the following:
| De | cember 29, 2024 | Dec | 2023 | De | cember 25, 2022 | |
|---|---|---|---|---|---|---|
| Accounts payable | $ | 570,127 | $ | 329,737 | $ | 48,050 |
| Accrued wages and benefits Gift cards liability | 533,148 6,514,150 | 310,119 2,894,549 | 966,130 922 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 82)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, the accrued wages and benefits as of December 25, 2022, were $966,130. This figure represents the total amount of wages and benefits that 7 Brew owed to its employees but had not yet paid out as of that date.
Accrued wages and benefits are a common liability for businesses, especially those with a significant number of employees. This liability typically includes earned salaries, wages, bonuses, and benefits like vacation time or health insurance contributions that employees have earned but have not yet received. The amount can fluctuate depending on the pay periods and the timing of when the financial statements are prepared.
For a prospective franchisee, understanding the accrued wages and benefits of the franchisor can provide insight into the company's financial health and its obligations to its employees. While this figure alone doesn't tell the whole story, it's a piece of the puzzle when evaluating the overall financial stability of 7 Brew.