What was the amount of 'Accounts payable - related parties' for Bens Soft Pretzels in 2022?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
$ | 1,629,472 | $ 1,301,147 | |
BEN'S SOFT PRETZELS FRANCHISING CORPORATION BALANCE SHEETS
December 31, 2024, 2023, and 2022
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| LIABILITIES AND | |||
| STOCKHOLDERS' EQUITY | |||
| Current liabilities | |||
| Current maturities of deferred revenue | $ 112,547 | $ 102,473 | $ 115,774 |
| Current maturities of deferred rebates | 3,000 | - | - |
| Current maturities of long-term debt | 13,001 | 22,051 | 12,584 |
| Accounts payable | 15,411 | 27,973 | 36,164 |
| Accounts payable - related parties | 16,558 | 8,915 | 9,959 |
| Gift cards payable | 82,465 | 81,173 | 75,975 |
| Accrued salaries and wages | 15,575 | 10,106 | 5,439 |
| Accrued property tax | 8,100 | 7,500 | - |
| Accrued distributions | 3 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 46)
What This Means (2025 FDD)
According to Bens Soft Pretzels' 2025 Franchise Disclosure Document, the 'Accounts payable - related parties' was $9,959 in 2022. This liability represents the amount Bens Soft Pretzels owed to entities related to them through common ownership or other forms of affiliation.
For a prospective franchisee, understanding the nature and extent of related-party transactions is crucial. These transactions can impact the financial health and stability of Bens Soft Pretzels. While not inherently problematic, related-party transactions require careful scrutiny to ensure they are conducted at arm's length and do not unfairly benefit or burden either party.
Franchisees should seek clarification from Bens Soft Pretzels regarding the specific nature of these related-party payables. Understanding the terms, conditions, and business rationale behind these transactions will allow a franchisee to assess any potential risks or conflicts of interest. It is also important to monitor these balances over time to identify any significant changes or trends that could affect the financial performance of Bens Soft Pretzels.