What were the accounts payable and other current liabilities for Gokhale Method in 2023?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
2_Picture_0.jpeg)
| | 2023 | |--------------------------------------------------------------------------------------------------------------------------|-------------------------| | ASSETS | | | Cash and cash equivalents Accounts receivable, net | $ 154,584 15,944 | | TOTAL ASSETS | $ 170,528 | | LIABILITIES AND STOCKHOLDER'S EQUITY | | | LIABILITIES Accounts payable and other current liabilities Deferred revenue | $ 8,491 48,956 | | Total liabilities | 57,447 | | STOCKHOLDER'S EQUITY Common stock (1,000 voting shares authorized, 500 shares issued and outstanding, $0.01 par value) | 5 | | Common stock (1,000 non-voting shares authorized, no shares issued and outstanding, $0.01 par value) | - | | Additional paid in capital Retained earnings | 100,657 12,419 | | Total stockholder's equity | 113,081 | | TOTAL LIABILITIES & STOCKHOLDER'S EQUITY | $ 170,528 |
|
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, the accounts payable and other current liabilities totaled $8,491 in 2023. This figure represents the company's short-term financial obligations, including amounts owed to suppliers and other immediate debts. This is an important figure for prospective franchisees to consider, as it provides insight into the company's financial health and its ability to manage its short-term liabilities.
Additionally, the FDD provides a more detailed breakdown of the company's assets and liabilities. In 2023, Gokhale Method had cash and cash equivalents of $154,584 and accounts receivable of $15,944, contributing to total assets of $170,528. On the liabilities side, in addition to the $8,491 in accounts payable and other current liabilities, the company had deferred revenue of $48,956, resulting in total liabilities of $57,447. Stockholder's equity totaled $113,081.
Understanding the relationship between assets, liabilities, and equity can help potential franchisees assess the financial stability and overall risk associated with investing in a Gokhale Method franchise. Reviewing these figures in the context of the company's historical performance and industry benchmarks is advisable. Prospective franchisees should seek professional financial advice to fully understand the implications of these financial statements.