What was the total long-term liability for All Team as of December 31, 2022?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2023 | 2022 | |
|---|---|---|
| LONG TERM LIABILITY | ||
| Operating lease liability, net of current maturity | 90,309 | 143,935 |
| Total Long-Term Liability | 90,309 | 143,935 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the total long-term liability as of December 31, 2022, was $143,935. This figure represents the operating lease liability, net of current maturity.
For a prospective franchisee, understanding the long-term liabilities of All Team is crucial for assessing the financial health and stability of the company. Long-term liabilities, like the operating lease liability, represent obligations that All Team is expected to meet over a period exceeding one year. These liabilities can impact the company's ability to invest in growth, manage its cash flow, and potentially affect the support and resources available to franchisees.
It's important to note that the operating lease liability reflects All Team's obligations for the use of property under lease agreements. The current maturity portion represents the amount due within the next year, while the long-term portion extends beyond that. Reviewing these liabilities in the context of All Team's overall financial statements provides a more comprehensive view of its financial commitments and risk profile. A potential franchisee should analyze these figures to understand the financial obligations of All Team and how they might affect the franchisor's ability to support its franchisees.
Franchisees should consider comparing these liabilities with those of other franchise systems in the same industry to gauge whether All Team's financial structure is typical or presents any unique risks or opportunities. Consulting with a financial advisor to review the FDD and All Team's financial statements is advisable to fully understand the implications of these liabilities.