What was the amount of rebates payable to Circle K franchisees as of April 28, 2024?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
f deferred construction allowances and deferred incentive payments approximates their carrying value.
7. Accounts Payable and Accrued Liabilities
Accounts payable and accrued liabilities consisted of the following:
| April 27, 2025 | April 28, 2024 | |
|---|---|---|
| Accrued promotional expens |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 99–100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, as of April 28, 2024, the rebates payable to Circle K franchisees amounted to $11,602,740. This figure represents the total amount of rebates that Circle K owed to its franchisees at that specific point in time.
This liability reflects accrued incentives, discounts, or refunds that franchisees have earned but not yet received from Circle K. These rebates could be based on various factors, such as sales volume, purchase of certain products, or participation in specific programs. The amount is a snapshot of Circle K's financial obligations to its franchisees as of the balance sheet date.
For a prospective Circle K franchisee, this information provides insight into the financial relationship between the franchisor and its franchisees. While it doesn't directly impact day-to-day operations, it indicates that Circle K has a system in place for providing rebates and incentives to its franchisees, which could potentially enhance profitability. Understanding the terms and conditions of these rebate programs would be a crucial part of evaluating the overall financial opportunity of a Circle K franchise.