What was the total amount of advances to related parties for All Team in 2024?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
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Tampa, Florida March 24, 2025
ALL TEAM FRANCHISE CORPORATION BALANCE SHEETS
AS OF DECEMBER 31, 2024 AND 2023
| 2024 | 2023 | |
|---|---|---|
| CURRENT ASSETS | ||
| Cash | $ 629,272 | $ 1,015,879 |
| Accounts receivable-trade, pledged, | 589,672 | 1,075,420 |
| less credit losses of $63,416 and $57,416, respectively | ||
| Advances to related parties | 1,526,254 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the total amount of advances to related parties in 2024 was $1,526,254. This figure is part of the company's current assets, reflecting the funds All Team has advanced to related parties, which could include subsidiaries, affiliates, or individuals with a close relationship to the company.
For a prospective franchisee, this number is important because it provides insight into All Team's financial dealings with related entities. High advances to related parties could suggest potential conflicts of interest or a reliance on these parties for financial support. It is essential to understand the nature of these advances, their terms, and the creditworthiness of the related parties to whom the advances were made.
In comparison, the advances to related parties in 2023 were $1,091,453. The increase from 2023 to 2024 indicates a growing financial relationship with related parties. A potential franchisee should investigate the reasons for this increase and its implications for All Team's financial stability and operational independence. Understanding these related-party transactions is crucial for assessing the overall risk and opportunities associated with investing in an All Team franchise.