What was the current portion of Benjamin Franklin Plumbing's operating lease liabilities in 2023?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
nsolidated statements of comprehensive loss.
In December 2023, Binford Aggregator LP issued a new tranche of A-2 units to be provided to certain executives. As of December 31, 2024 and 2023 there were approximately 476,190 A-2 units granted and the intrinsic value of this award on the grant date was equal to the value of the award. No stock-based compensation expense was recognized in the years ended December 31, 2024 and 2023 and there were no forfeitures or exercises of these awards during the years ended December 31, 2024 and 2023. During the years ended December 31, 2024, there were no A-2 units granted.
17. Leases
The Company leases office and retail space for its corporate employees, retail operations and vehicles.
Supplemental balance sheet information related to our finance and operating leases are as follows:
| Classification | 2024 | 2023 | ||
|---|---|---|---|---|
| Assets | ||||
| Operating leases | Operating lease right-of-use assets | $ | 13,787 | $ 15,144 |
| Finance leases | Property and equipment, net | 14,005 | 14,392 | |
| Total leased assets | $ | 27,792 | $ 29,536 | |
| Liabilities | ||||
| Current portion: | ||||
| Operating leases | Operating lease liabilities, current portion | $ | 4,193 | $ 5,070 |
| Finance leases | Accrued and other liabilities | 4,352 | 4,941 | |
| Non-current portion: | ||||
| Operating leases | Operating lease liabilities, non-current portion | 10,396 | 11,077 | |
| Finance leases | Other long-term liabilities | 8,351 | 8,410 | |
| Total lease liabilities | $ | 27,292 | $ 29,498 | |
| Weighted average remaining lease | ||||
| Term (in years): | ||||
| Opera |
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the current portion of their operating lease liabilities was $5,070 in 2023. This figure represents the amount of operating lease obligations due within the next year.
For a prospective Benjamin Franklin Plumbing franchisee, understanding the current portion of operating lease liabilities is crucial for assessing short-term financial obligations. Operating leases typically cover the use of property or equipment necessary for business operations. The current portion indicates the immediate financial commitment the franchisee must handle.
This information is useful for franchisees to plan their cash flow and budget accordingly. It is important to note that this is just the current portion; there are also non-current portions of operating lease liabilities that extend beyond the next year. Franchisees should consider both when evaluating the overall financial impact of lease obligations on their business.