What was the amount of cash paid by Carvel for interest as of December 31, 2023?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
expenses incurred to develop a new digital platform and enhance the Company's websites and mobile applications. Convention expenses include costs associated with th
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the cash paid for interest as of December 31, 2023, was $70,734. This figure represents the actual cash outflow Carvel made to cover its interest expenses during that fiscal year.
For a prospective Carvel franchisee, understanding the franchisor's interest payments can provide insight into the company's debt obligations and overall financial health. High-interest payments might indicate a significant debt burden, which could impact Carvel's ability to invest in franchisee support, marketing, or innovation. Conversely, lower interest payments could suggest a more stable financial position.
It is important to note that this figure represents only the cash portion of interest expenses. Carvel's total interest expense, as detailed elsewhere in the FDD, may include non-cash components such as amortization of debt discounts and issuance costs. Therefore, while the cash paid for interest provides a clear picture of Carvel's immediate cash obligations, a comprehensive analysis of the company's financial statements is necessary to fully understand its debt-related expenses.