What is the interest rate for the Small Business Administration note payable for Boulder Designs, and when does it mature?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | ||
|---|---|---|---|
| Note payable to the Small Business Administration that matures in June 2052 with an interest rate at 3.75% and monthly payments of $1,226; all unpaid interest and | |||
| principal due at maturity; secured by certain equipment | 240,000 | 240,000 |
Source: Item 23 — RECEIPT (FDD pages 50–217)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the company has a note payable to the Small Business Administration (SBA) that matures in June 2052. The interest rate on this note is 3.75%.
The note requires monthly payments of $1,226, with all unpaid interest and principal due at maturity. The note is secured by certain equipment. As of December 31, 2024, the outstanding balance on this note was $240,000, which remained the same as in 2023.
This information is relevant to potential Boulder Designs franchisees as it provides insight into the company's financial obligations and debt structure. Understanding the terms of the SBA note, such as the interest rate, maturity date, and security, can help franchisees assess the financial stability and long-term viability of Boulder Designs.