What were the total liabilities for Cd One Price Cleaners as of December 30, 2022?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
T OF USE ASSET-EQUIPMENT | 265,155.40 | | 1820 SECURITY DEPOSITS | 6,727.08 | | Total for Other Assets | $271,882.48 | | Total for Assets | $2,927,708.25 |
Liabilities and Equity
Liabilities
Current Liabilities
| 2000.1 Accounts Payable | 15,684.84 |
|---|---|
| Total for Accounts Payable | $15,684.84 |
| Total for Credit Cards | $43,268.71 |
| Other Current Liabilities | |
| 2210 ACCRUED ROYALTY REBATE | 10,968.70 |
| Total for Other Current Liabilities | $10,968.70 |
| Total for Current Liabilities | $69,922.25 |
| Long-term Liabilities | |
| 2632002 LOAN SBA TREASURY 002 | 500,000.00 |
| 2632003 LOAN SBA TREASURY 003 | 1,500,000.00 |
| 2634 ACCRUED INTEREST | 9,931.08 |
| 2 |
Source: Item 22 — Contracts (FDD page 72)
What This Means (2025 FDD)
According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, the total liabilities as of December 30, 2022, were $2,385,085.78. This figure represents the sum of current liabilities and long-term liabilities for Cd One Price Cleaners at that specific point in time.
Specifically, the current liabilities totaled $69,922.25, which includes accounts payable of $15,684.84 and credit cards totaling $43,268.71, as well as other current liabilities, including accrued royalty rebates of $10,968.70. The long-term liabilities amounted to $2,315,163.53. This total includes several notable debts: $500,000.00 for Loan SBA Treasury 002, $1,500,000.00 for Loan SBA Treasury 003, $9,931.08 in accrued interest, $43,795.76 for the current portion of operating lease liabilities, and $261,436.69 for the non-current portion of operating lease liabilities.
For a prospective Cd One Price Cleaners franchisee, understanding the franchisor's liabilities is crucial as it provides insight into the financial stability and health of the company. A high level of liabilities could indicate financial risk, while a manageable level suggests a stable financial foundation. Reviewing the components of these liabilities, such as the nature of the loans and lease obligations, can offer a more detailed understanding of the franchisor's financial commitments. This information, combined with other financial disclosures in the FDD, helps potential franchisees assess the overall risk and opportunity associated with investing in a Cd One Price Cleaners franchise.