What is the present value of future minimum lease payments for Batteries Plus Bulbs?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| 173 | $ | 344 | | | | Liabilities Current portion of finance lease liabilities Finance lease liabilities, less current portion | $ | 44 131 | $ | 100 - | | | | Total finance lease liabilities | $ | 175 | $ | 100 | | |
Following is a schedule of future minimum lease payments under the finance leases, together with the present value of the net minimum lease payments as of December 31, 2023.
Total minimum finance lease payments
| 2024 2025 2026 2027 2028 Thereafter | $ 50 52 43 34 9 - |
|---|---|
| Total lease payments | 188 |
| Less: imputed interest | (13) |
Source: Item 21 — Financial Statements (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Batteries Plus Bulbs Franchise Disclosure Document, the company provides schedules of future minimum lease payments under finance leases. As of December 31, 2024, one schedule shows a present value of future minimum lease payments of $175. This figure is calculated by totaling lease payments from 2024 through 'Thereafter' ($50, $52, $43, $34, and $9 respectively, totaling $188) and then subtracting imputed interest of $13.
Another schedule as of December 31, 2024, shows a present value of future minimum lease payments of $374. This is derived from total lease payments of $405, less imputed interest of $31. The lease payments considered in this calculation span from 2025 to 2029, with amounts of $112, $103, $95, $69, and $26 respectively.
It is important to note that these figures represent the company's obligations as a whole, and not necessarily what an individual franchisee would encounter. A prospective Batteries Plus Bulbs franchisee should consult the complete FDD and discuss with the franchisor the specific lease obligations they will be undertaking.