What was the total value of Checkersrallys' current liabilities?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| Fair value of stock consideration Current assets Cash and cash equivalents Accounts and notes receivable, net Inventory Prepaid expenses Other current assets | $ 97,819 17,613 5,828 3,105 3,690 1,600 |
|---|---|
| Total current assets | 31,836 |
| Property and equipment, net | 26,300 |
| Operating right-of-use assets | 152,445 |
| Finance right-of-use assets | 14,831 |
| Intangible assets | 198,900 |
| Favorable leasehold interests | 2,080 |
| Other assets | 2,584 |
| Total assets | $ 428,976 |
| Current liabilities Accounts payable Accrued liabilities Accrued wages and benefits Current portion of deferred revenue Current maturities of long-term debt, and financing obligations Current portion of accrued self-insurance Current portion of operating lease liabilities Current portion of finance lease liabilities | $ (3,126) (21,547) (3,829) (2,761) (923) (1,565) (11,939) (374) |
| Total current liabilities |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys' 2025 Franchise Disclosure Document, the total current liabilities are detailed in the financial statements. The total current liabilities for Checkersrallys is ($46,064).
Current liabilities represent the obligations Checkersrallys has to pay within one year. These liabilities include accounts payable, accrued liabilities, accrued wages and benefits, the current portion of deferred revenue, current maturities of long-term debt and financing obligations, the current portion of accrued self-insurance, the current portion of operating lease liabilities, and the current portion of finance lease liabilities.
Understanding the composition and amount of current liabilities is crucial for prospective franchisees. It provides insight into Checkersrallys' short-term financial health and its ability to meet its immediate obligations. High current liabilities relative to current assets could indicate potential liquidity issues, which might affect Checkersrallys' ability to support its franchisees or invest in growth initiatives.
A prospective franchisee should carefully review these figures and compare them to industry benchmarks to assess the financial stability of Checkersrallys. It is also advisable to seek professional financial advice to fully understand the implications of these liabilities for the franchise's future performance.