What was the total amount of Bambu's current liabilities in the most recent year presented?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
| CURRENT LIABILITIES | |||
|---|---|---|---|
| Accounts payable and accrued expenses | $ 689,346 | $ 480,167 | |
| Current portion of non-refundable deferred franchise fees | 370,917 | 265,062 | |
| Current portion of notes payable | 37,715 | 43,293 | |
| Current portion of notes payable -members | 30,279 | ||
| Current portion of lease liability | 14,641 | 22,698 | |
| TOTAL CURRENT LIABILITIES | 1,142,898 | 811,220 | |
| LONG-TERM LIABILITIES | |||
| Non-refundable deferred franchise fees | 772,538 | 1,171,105 | |
| Lease payable | 14,641 | ||
| Notes payable | 182,615 | 211,677 | |
| Notes payable -members | 242,331 | ||
| TOTA | L LIABILITIES | 2,340,382 | 2,208,643 |
| MEMBERS' (DEFICIT) | (1,835,938) | (1,608,889) | |
| TOT AL LIABILITIES AND | |||
| MEMBERS' (DEFICIT) | $ 504,444 | $ 599,754 |
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, the company's total current liabilities as of December 31, 2024, amounted to $1,142,898. This figure represents the sum of several short-term financial obligations, including accounts payable and accrued expenses ($689,346), the current portion of non-refundable deferred franchise fees ($370,917), the current portion of notes payable ($37,715), the current portion of notes payable to members ($30,279), and the current portion of lease liability ($14,641).
Understanding a company's current liabilities is crucial for prospective franchisees as it provides insight into its short-term financial health and obligations. A high level of current liabilities relative to current assets may indicate potential liquidity issues, which could affect Bambu's ability to support its franchisees or invest in future growth. Conversely, a manageable level of current liabilities suggests financial stability and efficient management of short-term obligations.
It is important to note that current liabilities are distinct from long-term liabilities, which represent obligations due beyond one year. Bambu's long-term liabilities include non-refundable deferred franchise fees ($772,538), lease payable ($14,641), notes payable ($182,615), and notes payable to members ($242,331). Analyzing both current and long-term liabilities provides a comprehensive view of Bambu's overall debt structure and financial commitments.
Prospective franchisees should carefully review Bambu's balance sheets and related financial statements to assess the company's financial stability and ability to meet its obligations. Consulting with a financial advisor to interpret these figures in the context of the franchise agreement and market conditions is advisable.