What is the long-term portion of notes payable for Apricot Lane?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
Less: Current portion | | | | | | | Notes Receivable, net | $ | 985,265 | $ | 985,265 | |
| Small Business Administration economic injury disaster loan, payable at $2,437 per month, including interest at 3.75%. Unpaid balance due April, 2051. Payment on this note began on June 1, 2022. Secured by UCC on all Company assets. | $ 500,000 |
|---|---|
| Note payable to Genesis Finance, secured by a certain vehicle, payable at $1,170 per month, including interest at 4.49%. Unpaid balance due on July 23, 2029. | 69,244 |
| Note payable to Mercedes-Benz, secured by a certain vehicle, payable at $1,116 per month, including interest at 8.04%. Unpaid balance due on August 29, 2029. | 60,787 |
| Note payable to Ford Motor Credit, secured by a certain vehicle, payable at $1,318 per month, including interest at 1.9%. Unpaid balance due on November 15, 2027. | 59,657 |
| Less Curr |
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the long-term portion of notes payable is $645,488. This figure represents the amount of outstanding debt that Apricot Lane is obligated to repay beyond the upcoming year.
The notes payable consist of several loans, including a Small Business Administration economic injury disaster loan with a balance of $500,000, payable at $2,437 per month with interest at 3.75%, and an unpaid balance due in April 2051. There is also a note payable to Genesis Finance for $69,244, secured by a vehicle, payable at $1,170 per month with interest at 4.49%, and an unpaid balance due in July 2029. Additional vehicle loans include one to Mercedes-Benz for $60,787, payable at $1,116 per month with interest at 8.04% and due in August 2029, and another to Ford Motor Credit for $59,657, payable at $1,318 per month with interest at 1.9% and due in November 2027.
The current portion of notes payable, which is the amount due within the next year, is $44,200. This amount is subtracted from the total notes payable to arrive at the long-term portion. Prospective franchisees should be aware of the franchisor's debt obligations, as they can impact the financial stability of Apricot Lane and potentially affect the support and services provided to franchisees. Understanding the terms and repayment schedules of these notes is crucial for assessing the financial health of the franchisor.