What was the amount of credit cards payable for Clean Your Dirty Face in 2023?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
ring the audit.
Canfield, Ohio March 17, 2025
Balance Sheets December 31, 2024 and 2023
Assets
| 2024 | 2023 | ||
|---|---|---|---|
| Current Assets | |||
| Cash and cash equivalents | $ 20,963 | $ | 23,501 |
| Investments - at fair market value | 750,000 | 1,276,253 | |
| Accounts receivable | 26,198 | 25,964 | |
| Member contributions receivable | 300,000 | - | |
| Total Current Assets | 1,097,161 | 1,325,718 | |
| Property and Equipment | |||
| Equipment | 585 | 585 | |
| Less: accumulated depreciation | (585) | (585) | |
| Net Property and Equipment | - | - | |
| Overpayment of credit card | 9,829 | - | |
| Total Assets | $ 1,106,990 | $ | 1,325,718 |
| Liabilities and Member's Equity | |||
| Liabilities | |||
| Credit cards payable | $ - | $ | 2,174 |
| Accrued expenses | 7,373 | 3,508 | |
| Deferred revenue | 700,000 | 850,000 | |
| Total Liabilities | 707, |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, the credit cards payable in 2023 were $2,174. This figure represents the amount Clean Your Dirty Face owed to credit card companies at the end of the 2023 fiscal year.
The credit cards payable amount is a liability, indicating short-term obligations. For a prospective franchisee, understanding this figure in the context of Clean Your Dirty Face's overall financial health is crucial. A high or increasing credit cards payable balance could suggest that Clean Your Dirty Face is relying heavily on credit to finance its operations, which might indicate potential financial strain.
However, in this case, the amount is relatively small compared to Clean Your Dirty Face's total liabilities and member's equity. Reviewing the trend of this liability over several years, as presented in the FDD, provides a better understanding of Clean Your Dirty Face's financial management practices. Additionally, comparing this figure to industry benchmarks can offer insights into whether Clean Your Dirty Face's credit card usage is typical for a franchise system of its size and nature.