What is the annual interest rate on the note for Caring Senior Service?
Caring_Senior_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
The Partnership received a $200,000 loan from an entity owned and operated by a partner of the Partnership on August 16, 2023. Terms include 240 monthly payments of $1,208 beginning June 1, 2024. The note bears interest at 4% and is unsecured. The loan has a balance of $196,130 as of December 31, 2024.
The Partnership purchased a vehicle for business use by Caring Senior Service on August 12, 2019. The vehicle was purchased through a loan from Security Services Federal Credit Union for $48,223. Terms include 72 payments due monthly in the amount of $769, which includes interest at 4.60%. The balance due on the loan was $6,007, $14,351, and $23,083 as of December 31, 2024, 2023, and 2022.
The Partnership received a loan from the U.S. Small Business Administration (SBA) on November 20, 2021, totaling $500,000. Terms include 360 payments due monthly in the amount of $2,575, which includes interest at 3.75%. These payments began May 23, 2024. The balance due on the loan was $500,000 as of December 31, 2024. Interest accrued on the loan as of December 31, 2024 is $37,212 ($30,900 current portion).
Source: Item 23 — RECEIPTS (FDD pages 53–204)
What This Means (2025 FDD)
According to the 2025 FDD, Caring Senior Service received a $200,000 loan from an entity owned and operated by a partner of the Partnership on August 16, 2023. The note bears interest at 4%. The terms of the loan include 240 monthly payments of $1,208, which began on June 1, 2024. As of December 31, 2024, the loan balance was $196,130 and is unsecured.
Additionally, the FDD mentions that the Partnership purchased a vehicle for business use on August 12, 2019, through a loan from Security Services Federal Credit Union for $48,223. This loan included interest at 4.60% with 72 monthly payments of $769. The balance due on this loan as of December 31, 2024, was $6,007.
Finally, the Partnership received a loan from the U.S. Small Business Administration (SBA) on November 20, 2021, totaling $500,000. The terms include 360 monthly payments of $2,575, which includes interest at 3.75%. These payments began May 23, 2024. The balance due on the loan was $500,000 as of December 31, 2024. Interest accrued on the loan as of December 31, 2024 is $37,212 ($30,900 current portion).