What were the finance lease cash flows for Atwell Suites in 2023?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2025 | $ 21,120 |
|---|---|
| 2026 | 21,120 |
| 2027 | 21,120 |
| 2028 | 21,120 |
| 2029 | 21,120 |
| Thereafter | 3,085,728 |
| Net minimum lease payments | 3,191,328 |
| Less amount representing interest | (2,930,124) |
| Present value of net minimum lease payments | $ 261,204 |
What This Means (2025 FDD)
According to Atwell Suites' 2025 Franchise Disclosure Document, the finance lease cash flows for 2023 were $21,120 (in thousands). This indicates the amount of cash outflow Atwell Suites experienced related to their finance lease obligations during that year. Finance leases are long-term leases where the risks and rewards of ownership are essentially transferred to the lessee, impacting the company's cash flow.
For a prospective franchisee, understanding these figures provides insight into Atwell Suites' financial obligations and how they manage long-term leases. It's important to note that this cash flow relates to Atwell Suites as a whole, and not necessarily the individual franchise unit. However, it demonstrates the company's approach to financial commitments and its overall financial health, which can indirectly affect franchisees.
It is important for potential franchisees to understand the nature of these finance leases and how they impact the franchisor's financial stability. While this specific figure doesn't directly translate to the franchisee's operations, it contributes to the overall picture of the franchisor's financial management and long-term planning. Franchisees should consider this information in the context of the entire FDD and seek clarification from Atwell Suites regarding any concerns about their financial obligations.