When are the notes payable to stockholders due for Capriottis Sandwich Shop?

According to Capriottis Sandwich Shop's 2025 Franchise Disclosure Document, there are multiple notes payable to stockholders with varying due dates. Some notes, with interest rates ranging from 7.00% to 10%, are due through January 2026 and are collateralized by the company's assets. Additionally, there are other notes payable to stockholders with interest rates ranging from 8.00% to 12.00%, also due through February 2026 and collateralized by the company's assets.

For a prospective Capriottis Sandwich Shop franchisee, this indicates that the company has existing debt obligations to its stockholders that extend into 2026. These debts could impact the company's financial flexibility and ability to invest in growth initiatives or support franchisees. It is important to note that these notes are collateralized by the company's assets, which could potentially affect the assets available to franchisees in certain circumstances.

Prospective franchisees should consider the implications of these debts on Capriottis Sandwich Shop's financial health and stability. Understanding the terms of these notes, such as the interest rates and repayment schedules, can provide valuable insights into the company's financial obligations. It would be prudent for potential franchisees to discuss these notes payable with the franchisor to gain a clearer understanding of their potential impact on the franchise system.