What was the value of loans and advances for Best Brains as of December 31, 2023?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
| 3 Other Current Assets | As at December 31, 2023 | As at December 31, 2022 |
|---|---|---|
| Employee Advance Loans to Shareholders State Tax Receivable Others Suta Receivable Undeposited Funds Service contract | 18,891.00 | 19,091.00 |
| 199,678.84 | 193,678.84 | |
| 4,452.00 | 4,452.00 | |
| 4,208.67 | 70.19 | |
| 66.66 | - | |
| 23,929.61 | 3,784.81 | |
| 4,500.00 | 4,500.00 | |
| Total | 255,726.78 | 225,576.84 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, the value of loans to shareholders is included in 'Other Current Assets'. As of December 31, 2023, the value of loans to shareholders was $199,678.84.
This figure represents the amount of money Best Brains has loaned to its shareholders that is considered a current asset. A current asset is something the company expects to convert to cash within one year.
Prospective franchisees should be aware of related-party transactions like these, as they can provide insight into the financial relationships between Best Brains and its shareholders. Understanding the nature and terms of these loans can help a franchisee assess the financial stability and management practices of the company.