What was the reported amount for Checkers' accrued liabilities in the earlier year presented in the table?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Current liabilities | |||
|---|---|---|---|
| Accounts payable | $ 3,563 | $ 2,650 | |
| Accrued liabilities | 13,855 | 13,801 | |
| Accrued wages and benefits | 3,708 | 4,148 | |
| Current portion of deferred revenue | 2,652 | 2,717 | |
| Current maturities of long-term debt | 1,788 | 1,802 | |
| Current maturities of financing obligations | 67 | 77 | |
| Current portion of accrued self-insurance | 2,365 | 1,640 | |
| Current portion of operating lease liabilities | 11,490 | 11,742 | |
| Current portion of finance lease liabilities | 966 | 545 | |
| Total current liabilities | 40,454 | 39,122 |
Source: Item 23 — RECEIPTS (FDD pages 92–384)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the accrued liabilities for the earlier year presented in the table were $13,801. This figure represents the company's obligations that have been incurred but not yet paid as of that date. Accrued liabilities are a standard accounting item reflecting short-term debts like wages, taxes, and interest.
For a prospective Checkers franchisee, understanding accrued liabilities is crucial for assessing the company's financial health. A high level of accrued liabilities compared to assets might indicate potential short-term financial strain. Conversely, a stable or decreasing level could suggest efficient financial management.
It is important to note that this figure is just one component of Checkers' overall financial picture. A franchisee should review the complete financial statements and consult with a financial advisor to gain a comprehensive understanding of the company's financial standing and its implications for their investment.