What was the total amount of Face Foundrie's liabilities as of December 31, 2024?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
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The use of this report is restricted to inclusion within the Company's Franchise Disclosure Document (FDD) and is not intended to be, and should not be, used or relied upon by anyone for any other use.
St. George, Utah April 16, 2025
BALANCE SHEETS
As of December 31, 2024, 2023 and 2022
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Assets | |||
| Current assets | |||
| Cash and cash equivalents | $ 3,480,620 | $ 1,969,123 | $ 1,611,868 |
| Accounts receivable, net | 424,770 | 96,311 | 101,020 |
| Prepaid expenses | 8,530 | 17,976 | - |
| Related party note receivable | 750,000 | 750,000 | 130,986 |
| Deferred contract costs | - | 30,000 | 34,000 |
| Other current assets | - | 29,383 | 73,451 |
| Total current assets | 4,663,920 | 2,892,793 | 1,951,325 |
| Non-current assets | |||
| Operating lease right-of-use asset | 331,322 | 366,840 | 400,209 |
| Equipment, net | 8,039 | 5,030 | 6,577 |
| Intangible assets, net | 41,404 | 53,872 | 42,340 |
| Total non-current assets | 380,765 | 425,742 | 449,126 |
| Total assets | $ 5,044,685 | $ 3,318,535 | $ 2,400,451 |
| Liabilities and Member's Deficit | |||
| Current liabilities | |||
| Accounts payable | $ 42,622 | $ 20,074 | $ - |
| Accrued expenses | 39,488 | 31,279 | 63,084 |
| Credit card payable | 19,368 | 22,075 | 9,497 |
| Gift card liability | 2,434,596 | 1,468,430 | 712,736 |
| Operating lease liability, current | 58,952 | 32,486 | 29,204 |
| Deferred revenue, current | 819,881 | 447,000 | 131,147 |
| Total current liabilities | 3,414,907 | 2,021,344 | 945,668 |
| Non-current liabilities | |||
| Operating lease liability, non-current | 284,843 | 343,795 | 376,281 |
| Deferred revenue, non-current | 1,72 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 73)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the company's total liabilities as of December 31, 2024, amounted to $5,427,477. This figure represents the sum of Face Foundrie's current liabilities ($3,414,907) and non-current liabilities ($2,012,570) at the end of the fiscal year. Current liabilities are obligations due within one year, while non-current liabilities are those due beyond one year. These liabilities encompass various financial obligations, including accounts payable, accrued expenses, credit card payables, gift card liabilities, operating lease liabilities, and deferred revenue.
The current liabilities of $3,414,907 consist of several components. Accounts payable totaled $42,622, representing amounts owed to vendors and franchisees. Accrued expenses were $39,488. Credit card payable amounted to $19,368. The gift card liability was $2,434,596, indicating the value of outstanding gift cards. The current portion of the operating lease liability was $58,952, and deferred revenue was $819,881.
Face Foundrie's non-current liabilities, totaling $2,012,570, include the non-current portion of the operating lease liability, which was $284,843, and non-current deferred revenue, which was $1,727,727. Deferred revenue represents payments received for services or goods not yet provided. The operating lease liability reflects the company's obligations under its office space lease agreement.
Prospective franchisees should understand the nature and extent of Face Foundrie's liabilities, as these obligations could impact the franchisor's financial stability and ability to support its franchisees. Reviewing the balance sheet and related notes in the FDD provides valuable insights into the company's financial health and risk profile.