What was the amount of accrued liabilities for Engineering For Kids in 2024?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
ertain internal control related matters that we identified during the audit.
March 31, 2025
ENGINEERING FOR KIDS INTERNATIONAL, LLC BALANCE SHEETS DECEMBER 31, 2024, 2023 AND 2022
| 2024 | 2023 | 2022 | ||||
|---|---|---|---|---|---|---|
| ASSETS | ||||||
| Current assets | ||||||
| Cash and cash equivalents | $ | 21,735 | $ | 117,655 | $ | 31,036 |
| Accounts receivable, net of allowance for credit losses | 58,661 | 45,523 | 62,234 | |||
| Due from related party | 14,968 | - | - | |||
| Prepaid expenses | 2,575 | 6,200 | 6,311 | |||
| Total current assets | 97,939 | 169,378 | 99,581 | |||
| Intangible assets, less accumulated amortization | 40,417 | 49,046 | 20,110 | |||
| TOTAL ASSETS | $ | 138,356 | $ | 218,424 | $ | 119,691 |
| LIABILITIES AND MEMBER'S EQUITY | ||||||
| LIABILITIES | ||||||
| Current liabilities | ||||||
| Accounts payable | $ | - | $ | 320 | $ | 6,638 |
| Due to related party | - | 115,040 | 51,166 | |||
| Accrued liabilities | 25,744 | 27,671 | 21,427 | |||
| TOTAL LIABILITIES | 25,744 | 143,031 | 79,231 | |||
| MEMBER'S EQUITY | ||||||
| Member capital | 100 | 100 | 100 | |||
| Retained ear |
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Engineering For Kids's 2025 Franchise Disclosure Document, the company's accrued liabilities at the end of 2024 were $25,744. Accrued liabilities represent obligations that Engineering For Kids has incurred but not yet paid, such as salaries, rent, or utilities. These are considered current liabilities, reflecting debts due within a year.
For a prospective Engineering For Kids franchisee, understanding the franchisor's accrued liabilities can provide insight into its short-term financial obligations and overall financial health. A significant increase in accrued liabilities could indicate potential cash flow issues or increased operational expenses. Conversely, stable or decreasing accrued liabilities might suggest efficient financial management.
It's important to note that accrued liabilities are just one aspect of a company's financial picture. A prospective franchisee should review the complete balance sheet and other financial statements to gain a comprehensive understanding of Engineering For Kids's financial condition. Consulting with a financial advisor is recommended to assess the implications of these figures for the franchise opportunity.