What is the reported total value of 'Finance lease liability' for Checkersrallys?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| Successor | ||
|---|---|---|
| December 30, | January 1, | |
| 2024 | 2024 | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||
| Current liabilities | ||
| Current portion of finance lease liabilities | 966 | 545 |
| Operating lease liabilities, less current portion | 134,307 | 149,180 |
| Finance lease liabilities, less current portion | 33,979 | 24,738 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the 'Finance lease liabilities, less current portion' was $33,979 as of December 30, 2024, and $24,738 as of January 1, 2024. Additionally, the 'Current portion of finance lease liabilities' was $966 as of December 30, 2024, and $545 as of January 1, 2024.
To calculate the total finance lease liability, we need to add the current portion and the long-term portion. As of December 30, 2024, the total finance lease liability is $33,979 (long-term) + $966 (current portion) = $34,945. As of January 1, 2024, the total finance lease liability is $24,738 (long-term) + $545 (current portion) = $25,283.
This information is relevant for prospective Checkersrallys franchisees as it provides insight into the company's lease obligations. Finance leases typically involve assets that are essentially financed over a longer term, and understanding these liabilities can help franchisees assess the financial health and stability of Checkersrallys. Franchisees may want to compare these figures with previous years or with other similar franchise systems to gauge whether the lease obligations are increasing or decreasing and how they might impact the company's financial performance.