What was the total amount of Cicis' marketing fund liabilities, restricted, in 2024?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |
|---|---|---|
| Liabilities and Members' Capital | ||
| Current liabilities: | ||
| Accounts payable | $ - | $ 413,045 |
| Accounts payable—marketing fund, restricted | 275,741 | 206,861 |
| Current portion of deferred franchise fees | 85,717 | 73,092 |
| Accrued expenses and other current liabilities | 1,262,223 | 1,377,451 |
| Related party payable | - | 596,796 |
| Marketing fund liabilities, restricted | 1,513,594 | 1,937,309 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 58–64)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the total marketing fund liabilities, restricted, for the year 2024 was $1,513,594. This figure represents the amount Cicis' marketing fund was liable for at the end of the fiscal year.
This liability reflects obligations that the marketing fund has to external parties. These obligations could stem from various marketing activities, such as advertising campaigns, promotional events, or other initiatives aimed at enhancing the Cicis brand. The fact that these liabilities are 'restricted' indicates that the funds are specifically earmarked for marketing purposes and cannot be used for other operational expenses of the company.
For a prospective Cicis franchisee, this information provides insight into the financial management of the marketing fund. It's important to monitor these liabilities to ensure the fund remains solvent and effective in its marketing efforts. A high level of liabilities could potentially impact the fund's ability to invest in future marketing initiatives, which could, in turn, affect the franchisee's business. It would be prudent for a potential franchisee to inquire about the nature of these liabilities and the plans for their settlement to assess the financial health of the marketing fund.