What was the total amount of All Team's advances in 2024?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
lows:
| 2025 | $64,128 | |-----------------------------|----------| | 2026 | 32,540 96,668 | | Less effects of discounting | (6,359) | | Lease liability recognized | $90,309 | The following rent expense is associated with this operating lease:
Fixed rent expense $72,893
NOTE 11 – RELATED PARTY TRANSACTIONS
The Company advances working capital to companies owned primarily by the stockholder under formal agreements that include interest on the unpaid balance. There are no specific repayment ter
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the company's advances in 2024 totaled $1,526,254. These advances are categorized as "Advances to related parties" within the current assets section of the balance sheet. In 2023, the advances to related parties amounted to $1,091,453.
These advances are further explained in Note 11 of the financial statements as working capital provided to companies owned primarily by the stockholder. These advances are made under formal agreements that include interest on the unpaid balance. Repayments are contingent on the companies having excess cash, and there are no specific repayment terms.
For a prospective franchisee, this indicates that All Team provides financial support to related entities. While this may not directly impact the franchisee's day-to-day operations, it is important to understand the financial relationships between All Team and its related parties. It would be prudent for a potential franchisee to inquire about the nature of these related party transactions and their potential impact on the financial stability of All Team.