What was the total amount of current liabilities for Auntie Annes in the earlier year presented in the table?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
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Atlanta, Georgia March 11, 2024
Consolidated balance sheets
(In thousands)
| December 31, 2023 | December 25, 2022 | |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | $ 22,662 | $ 31,196 |
| Restricted cash and cash equivalents - securitization | 29,582 | 27,456 |
| Accounts receivable, net of allowance for credit losses of | ||
| $1,143 and $1,383 in 2023 and 2022, respectively | 37,049 | 31,935 |
| Inventories | 978 | 1,116 |
| Prepaid expenses and other current assets | 9,263 | 8,720 |
| Advertising funds assets | 7,643 | 6,972 |
| Intercompany receivables from Parent | 3,277 | 3,277 |
| Total current assets | 110,454 | 110,672 |
| Property, equipment, leasehold improvements and land, net | 71,199 | 59,734 |
| Operating lease assets, net | 69,535 | 75,786 |
| Goodwill |
Source: Item 23 — RECEIPTS (FDD pages 106–366)
What This Means (2024 FDD)
According to Auntie Anne's 2024 Franchise Disclosure Document, the total current liabilities as of December 25, 2022, were $128,183. This figure represents the sum of several short-term financial obligations, including accounts payable, accrued expenses, income taxes payable, advertising funds liabilities, deferred revenue, the current portion of operating lease liabilities, and the current portion of long-term debt.
For a prospective Auntie Anne's franchisee, understanding the current liabilities is crucial because it provides insight into the company's short-term financial health and obligations. A higher level of current liabilities might indicate that the company has significant short-term debts to manage.
It is important to note that these liabilities do not represent the franchisee's individual financial obligations but rather reflect the overall financial obligations of the Auntie Anne's Franchisor SPV LLC. Reviewing these figures can help potential franchisees assess the financial stability of the franchisor. This information, combined with other financial metrics, can inform a franchisee's decision-making process and risk assessment before investing in an Auntie Anne's franchise.