What was the value of the note receivable for Craters & Freighters as of December 31, 2022?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
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| As of December 31, | 2024 | 2023 |
|---|---|---|
| Current Assets: | ||
| Cash and Cash Equivalents | $ 5,342,958 $ | 6,991,649 |
| Marketable Securities - At Fair Market Value | 780,245 | 634,869 |
| Accounts Receivable - Net of Allowance for | ||
| Credit Losses of $20,000 and $50,000, Respectively | 702,206 | 569,660 |
| Other Receivable | 132,658 | - |
| Notes Receivable | 11,662 | - |
| Prepaid Expenses | 234,686 | 201,226 |
| Inventories | 7,592 | - |
| Total Current Assets | 7,212,007 | 8,397,404 |
| Property and Equipment - At Cost: | ||
| Office Equipment | 102,860 | 80,613 |
| Furniture and Fixtures | 19,863 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, there are two types of notes receivable. One is related to a former employee, and the other is listed as simply 'Notes Receivable'.
As of December 31, 2024, the notes receivable was valued at $11,662, and the note receivable from a former employee was valued at $160,000. As of December 31, 2023, the notes receivable was valued at $0, and the note receivable from a former employee was valued at $160,000.
The FDD does not specify the value of either 'Notes Receivable' or 'Note Receivable - Former Employee' as of December 31, 2022. A prospective franchisee should ask Craters & Freighters for clarification on these values for December 31, 2022, to gain a clearer understanding of the company's financial position during that period.