What was the total amount of Exit's long-term liabilities in 2022?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Long-term liabilities | |||
| Notes payable, net of current | 1,559,052 | 1,889,505 | 2,250,108 |
| Deferred income tax liability - Canadian taxes | 414,995 | 312,000 | 215,000 |
| Deferred revenue | 3,381,807 | 3,929,136 | 4,854,640 |
| Other non-current liabilities | 1,005,000 | - | - |
| Total long-term liabilities | 6,360,854 | 6,130,641 | 7,319,748 |
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the company's total long-term liabilities in 2022 amounted to $7,319,748. This figure provides a snapshot of Exit's financial obligations that are due beyond the upcoming year. These liabilities include items such as notes payable (net of current portions), deferred income tax liability related to Canadian taxes, and deferred revenue.
Understanding the composition and magnitude of long-term liabilities is crucial for prospective franchisees. A high level of long-term debt could indicate financial strain or significant leverage, which might impact Exit's ability to support its franchisees or invest in future growth. Conversely, a lower level of long-term liabilities might suggest a more stable financial position.
It is important to note that this figure represents a specific point in time and can fluctuate due to various factors, including changes in debt levels, revenue recognition, and tax liabilities. Therefore, prospective franchisees should review Exit's financial statements for multiple years to identify trends and assess the overall financial health of the company. Additionally, it would be prudent to seek professional financial advice to fully understand the implications of Exit's long-term liabilities.