What was the total amount of other funding liabilities for All Team as of December 31, 2022?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
findings, and certain internal control related matters that we identified during the audit.
Tampa, Florida
May 30, 2024
ALL TEAM FRANCHISE CORPORATION BALANCE SHEETS
AS OF DECEMBER 31, 2023 AND 2022
| 2023 | 2022 | |
|---|---|---|
| CURRENT ASSETS | ||
| Cash | $ 1,015,879 | $ 894,307 |
| Accounts receivable-trade, pledged, | 1,075,420 | 2,468,379 |
| less credit losses of $57,416 and $51,915, respectively | ||
| Advances to related parties | 1,091,453 | 486,445 |
| Prepaid expenses | 20,368 | 4,098 |
| Due from IRS | 49,780 | - |
| Total Current Assets | 3,252,900 | 3,853,229 |
| PROPERTY AND EQUIPMENT, net | - | - |
| OTHER ASSETS | ||
| Operating lease right-of-use assets | 143,935 | 192,816 |
| Deposits | 34,537 | 34,537 |
| Intangible assets | 61,329 | 61,329 |
| Total Other Assets | 239,801 | 288,682 |
| TOTAL ASSETS | $ 3,492,701 | $ 4,141,911 |
| CURRENT LIABILITIES | ||
| Accounts payable - trade | $ 3,528 | $ - |
| Due to stockholder | 39,378 | 69,378 |
| Current maturity of operating lease liability | 53,626 | 48,881 |
| Credit line payable | 1,321,084 | 1,708,300 |
| Accrued expenses | 231,956 | 277,627 |
| Other funding liabilities | 919,887 | 1,246,428 |
| Total Current Liabilities | 2,569,459 | 3,350,614 |
| LONG TERM LIABILITY | ||
| Operating lease liability, net of current maturity | 90,309 | 143,935 |
| Total Long-Term Liability | 90,309 | 143,935 |
| Total Liabilities | 2,659,768 | 3,494,549 |
| STOCKHOLDER'S EQUITY | ||
| Common stock - $1 par value; 30,000 shares authorized, 1,000 | ||
| shares issued, and 1,000 shares outstanding | 1,000 | 1,000 |
| Additional p |
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 total other funding liabilities as of December 31, 2022, amounted to $1,246,428. This figure is a component of the company's current liabilities, which totaled $3,350,614 for the same period. It's important to note that this liability is distinct from other liabilities such as accounts payable, amounts due to the stockholder, current maturities of operating lease liabilities, accrued expenses, and credit line payable.
For a prospective All Team franchisee, understanding the nature of these 'other funding liabilities' is crucial. It represents a significant financial obligation of the company. While the FDD provides the aggregate amount, it does not detail the specific sources or terms of these liabilities. A franchisee should seek clarification from All Team regarding the specifics of these liabilities to assess any potential impact on the franchisor's financial stability and its ability to support franchisees.
Franchisees should also compare this figure with those of other franchise systems they are considering. A high level of 'other funding liabilities' relative to assets or equity could indicate a higher level of financial risk for the franchisor. This could, in turn, affect the franchisor's ability to invest in franchisee support, marketing, or new product development. Therefore, a thorough understanding of these liabilities is an essential part of due diligence before investing in an All Team franchise.
It is also worth noting that the 'other funding liabilities' decreased from $1,246,428 in 2022 to $919,887 in 2023, and further to $1,133,303 in 2024. Reviewing these trends over multiple years can provide a more comprehensive view of All Team's financial management and risk profile.