What were the total liabilities of Fly Fitness as of December 31, 2022?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
t we identified during the audit.
& Associates Certificel Public Accountants, LLC
Omaha, Nebraska March 21, 2023
BALANCE SHEET
| December 31 | 2022 |
|---|---|
| ASSETS | |
| Current assets | |
| Cash and cash equivalents | $ 203,544 |
| Total current assets | $ 203,544 |
| Other assets | |
| Intangible assets, less accumulated amortization of $15,200 (note 2) | $ 112,500 |
| Total other assets | $ 112,500 |
| TOTAL ASSETS | $ 316,044 |
| LIABILITIES AND MEMBERS' EQUITY | |
| Current liabilities | |
| Credit cards payable | $ 125 |
| Accrued payroll |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 44)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, the company's total liabilities as of December 31, 2022, were $3,419. This figure is comprised of current liabilities, specifically credit cards payable amounting to $125 and accrued payroll of $3,294. These liabilities represent the financial obligations Fly Fitness had at that specific point in time.
For a prospective franchisee, understanding the franchisor's liabilities is crucial as it provides insight into the financial stability and management of Fly Fitness. A low liability figure, as seen here, can be a positive indicator, suggesting that the company is not heavily burdened by debt or other obligations. This can be reassuring for franchisees who are considering investing in the brand.
However, it's important to note that this figure is just a snapshot in time. The liabilities of Fly Fitness could have changed significantly since December 31, 2022. Therefore, prospective franchisees should review the most recent financial statements and consider seeking professional financial advice to fully assess the financial health of the company. Additionally, it's worth noting that as of December 31, 2022, Fly Fitness had not yet opened any franchises.