What was the change in accounts payable and accrued expenses for Angry Chickz in 2023?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | ||
|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | |||
| Net loss | $ ( 436,260) | $ ( 219,329) | |
| Adjustments to reconcile net loss to net cash | |||
| from operating activities: | |||
| Amortization | 7 50 | - | |
| Net change in assets and liabilities | |||
| Receivables and other current assets | (8,507) | - | |
| Contract assets | (60,000) | - | |
| Accounts payable and accrued expenses | (24,850) | 4 6,753 | |
| Contract liability | 396,250 | - |
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, in 2023, the accounts payable and accrued expenses increased by $46,753. In 2024, the accounts payable and accrued expenses decreased by $(24,850). This data is derived from the cash flow statement related to operating activities.
Accounts payable and accrued expenses represent short-term liabilities of Angry Chickz. An increase in this category typically suggests that the company has deferred payments to its suppliers or has accrued expenses that have not yet been paid. Conversely, a decrease indicates that the company has paid off some of its outstanding short-term liabilities.
For a prospective franchisee, understanding these changes can provide insights into the company's financial management and short-term obligations. While a significant increase might raise questions about cash flow management, it could also be a strategic decision to optimize payment schedules. A decrease, on the other hand, could indicate improved financial health and better management of liabilities. It's important to consider these figures in the context of the overall financial performance of Angry Chickz.