What was the total for other current liabilities for Best Brains?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
| DISTRIBUTION ACCOUNT | TOTAL |
|---|---|
| Rent Deposit | 6,926.00 |
| Software Development | $96,000.00 |
| Accumulated Amortization | -59,400.00 |
| Total for Software Development | $36,600.00 |
| Total for Other Assets | $829,502.94 |
| Total for Assets | $5,800,353.06 |
| Liabilities and Equity | |
| Liabilities | |
| Current Liabilities | |
| Accounts Payable | |
| Accounts Payable | 4,359,868.59 |
| Total for Accounts Payable | $4,359,868.59 |
| Credit Cards | |
| Chase United | 58,323.60 |
| Citibank AAdvantage | 32,104.94 |
| Credit Card at BOA4100 | 21,147.88 |
| Credit Card at Chase - 0669 | -25,054.83 |
| Credit Card at Chase - 4855 | 56,277.45 |
| Total for Credit Cards | $142,799.04 |
| Other Current Liabilities | |
| Accrued Real Estate Tax | |
| Credit BCBS | |
| Deferred Franchise Revenue - Current | 11 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, the total for other current liabilities is $308,759.83. This figure represents the sum of various short-term financial obligations that Best Brains has, which are not categorized as accounts payable, credit cards, or loans.
These liabilities include accrued real estate taxes, credit BCBS, deferred franchise revenue, deposits made in error, direct deposit payable, franchise advances, franchise fees advances ($162,500.00), payroll liabilities (-$34,273.93), and other similar short-term debts. Understanding the composition of these liabilities is crucial for a prospective franchisee to assess the financial health and stability of Best Brains.
The presence of deferred franchise revenue and franchise fee advances suggests that Best Brains has received payments for services or franchises that have not yet been fully delivered or opened. This is a common practice in franchising, but it's important to understand the terms and conditions associated with these deferred revenues. Payroll liabilities include items such as 401K (-$4,467.75), federal taxes, federal unemployment, garnishments (-$5,599.12), and health insurance (-$24,207.06).
For a potential Best Brains franchisee, this number is important because it gives insight into the company's short-term financial obligations. A high number might indicate financial strain, while a lower number could suggest better financial management. It is important to review these liabilities in the context of Best Brains' overall financial statements to get a comprehensive understanding of their financial position.