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What were the total current liabilities for Aw as of December 31, 2023?

Aw Franchise · 2025 FDD

Answer from 2025 FDD Document

BALANCE SHEETS RAYYAN PIZZA FRANCHISE LLC

ASSETS
YEARS ENDED DECEMBER 31
2023 2022
Assets
Cash $ 4,705 $ 33,561
Due from franchisee 7,837 1,226
Due from related parties 51,502 51,502
Total Assets $ 64,044 $ 86,289
LIABILITIES AND MEMBERS' EQUITY (DEFICIT)
Current Liabilities
Accounts payable and accrued expenses $ — $ 4,834
Loan payable SBA 513 476
Loan payable WinTrust 10,073 10,073
Contract Liability 8,000 8,250
Total Current Liabilities 18,586 23,633
Long Term Liabilities
Loan payable SBA, net of current 27,341 25,424
Contract Liability, net of current 17,500 25,500
Members' Equity (Deficit) 617 11,732

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Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)

What This Means (2025 FDD)

According to Aw's 2025 Franchise Disclosure Document, the company's total current liabilities as of December 31, 2023, were $18,586. This figure represents the sum of several short-term financial obligations, including $513 in Loan payable SBA, $10,073 in Loan payable WinTrust, and $8,000 in Contract Liability.

Current liabilities are a critical measure of a company's short-term financial health. They indicate the amount of money Aw owes to creditors within one year. These liabilities are distinct from long-term liabilities, which extend beyond a year and reflect longer-term debt and obligations.

For a prospective Aw franchisee, understanding the franchisor's current liabilities is essential for assessing the financial stability of the franchise system. A high level of current liabilities relative to current assets could indicate potential financial strain, which might affect the franchisor's ability to support its franchisees. Conversely, a manageable level of current liabilities suggests that Aw is in good financial standing and capable of meeting its short-term obligations.

It is important to note that these figures are based on Aw's financial statements and may not reflect the financial performance of individual franchise locations. Potential franchisees should conduct their own due diligence and consult with a financial advisor to fully understand the financial implications of investing in an Aw franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.