What is the total of future lease payments for Aunt Millies Bakeries related parties in 2026?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
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The following table represents the weighted-average remaining lease term and discount rate as of September 30, 2024 and 2023:
| 2024 | 2023 | |
|---|---|---|
| Weighted average remaining lease term (years) Weighted average discount rate | 6.86 | 9.72 |
| 3.74% | 4.26% |
Future undiscounted lease payments for the Corporation's lease liabilities are as follows as of September 30, 2024:
| R | elated Parties | 9 | Third Parties | Total | ||
|---|---|---|---|---|---|---|
| 2025 | $ | 1,731,497 | $ | 3,546,573 | $ | 5,278,070 |
| 2026 | 1,513,587 | 2,899,996 | 4,413,583 | |||
| 2027 | 1,158,988 | 2,120,538 | 3,279,526 | |||
| 2028 | 1,032,306 | 1,548,750 | 2,581,056 | |||
| 2029 | 974,241 |
Source: Item 23 — RECEIPT (FDD pages 44–196)
What This Means (2025 FDD)
According to Aunt Millies Bakeries's 2025 Franchise Disclosure Document, the total of future lease payments to related parties in 2026 is $1,513,587. This figure represents the payments Aunt Millies Bakeries anticipates making to entities or individuals with a close relationship to the company.
For a prospective franchisee, understanding these related-party transactions is crucial. It provides insight into the financial obligations and relationships Aunt Millies Bakeries has with its affiliates. Knowing the magnitude of these lease payments can help a franchisee assess the overall financial health and stability of the franchisor.
It's important to note that these are future lease payments, and the actual amounts could vary. Franchisees should consider this information in conjunction with other financial disclosures in the FDD to gain a comprehensive understanding of Aunt Millies Bakeries's financial position and potential risks.