What is the total partners capital (deficit) reported for Caring Senior Service?
Caring_Senior_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
| Current Liabilities | ||
|---|---|---|
| Accounts payable: | ||
| Trade | $ 220,999 $ | 229,137 $ 238,542 |
| Related party | 2,858 | 3,232 528 |
| Accrued state franchise taxes | 23,126 | 17,941 10,738 |
| Advances from related party | 95,535 | 97,126 54,538 |
| Current portion of interest payable | 30,900 | - - |
| Current portion of long-term debt | 6,750 | 16,921 10,037 |
| Current portion of note payable from related party | 6,845 | 3,869 - |
| Deferred franchise fees | 133,181 | 94,937 53,970 |
| Total Current Liabilities | 520,194 | 463,163 368,353 |
| Non-Current Liabilities | ||
| Interest payable | 6,312 | - - |
| Long-term debt, net of current portion | 499,258 | 497,222 512,946 |
| Note payable from related party | 189,285 | 196,131 - |
| Total Non-Current Liabilities | 694,855 | 693,353 512,946 |
| TOTAL LIABILITIES | 1,215,049 | 1,156,516 881,299 |
| Partners' Capital | ||
| Partners' Capital (Deficit) - restated | 32,875 | ( 386,141) (211,174) |
| Less: receivables from partner-owned entities | ( 583,639) | ( 467,100) (367,100) |
| Total Partners' Capital (Deficit) | ( 550,764) | ( 853,241) (578,274) |
| TOTAL LIABILITIES AND |
Source: Item 23 — RECEIPTS (FDD pages 53–204)
What This Means (2025 FDD)
According to Caring Senior Service's 2025 Franchise Disclosure Document, the total partners' capital (deficit) is detailed in the balance sheets provided. For the year 2024, the total partners' capital (deficit) is reported as a negative $550,764. This figure is calculated by starting with the partners' capital (deficit) restated amount of $32,875 and then subtracting receivables from partner-owned entities, which amount to $583,639.
For 2023, the total partners' capital (deficit) was a negative $853,241. This was derived from a restated partners' capital (deficit) of negative $386,141, less receivables from partner-owned entities of $467,100. In 2022, the total partners' capital (deficit) was negative $578,274, calculated from a restated partners' capital (deficit) of negative $211,174, less receivables from partner-owned entities of $367,100.
The negative partners' capital (deficit) indicates that the liabilities of Caring Senior Service exceeded its assets for these years. This can be a critical indicator of the company's financial health. The receivables from partner-owned entities significantly contribute to this deficit, suggesting financial interactions between Caring Senior Service and its partners or related businesses that impact the overall capital position.
A prospective franchisee should carefully consider these figures and trends, especially the consistent negative capital balance and the impact of receivables from partner-owned entities. It would be prudent to seek clarification from Caring Senior Service regarding the nature of these related-party transactions and their potential implications for the financial stability of the franchise system.