What was the gain on insurance settlement for Camp Margaritaville in 2023?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
ayments against the delayed draws of $435,000 and $180,000 in 2024 and 2023, respectively.
The debt facility includes subordinated debt associated with related-party entities. The balance of the related-party note payable was $9,805,332
Source: Item 23 — RECEIPTS (FDD pages 72–406)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, the debt facility term loan required annual principal payments of $1,050,000 through 2027. These principal payments were considered paid in full upon receipt of the insurance proceeds in 2023.
This indicates that Camp Margaritaville received insurance proceeds in 2023 that were sufficient to cover the remaining principal payments on the debt facility term loan. This would free up cash flow for the company in future years, as they would no longer be required to make these annual principal payments.
However, the excerpt does not specify the exact amount of the insurance settlement or the gain realized. To fully understand the financial impact, a prospective franchisee should inquire with Camp Margaritaville about the total insurance settlement amount and how it was accounted for in their financial statements.