What was the total liabilities & stockholders' equity for Gokhale Method in 2020?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
22
| 2021 | 2020 | |||
|---|---|---|---|---|
| ASSETS | ||||
| CURRENT ASSETS | ||||
| Cash and cash equivalents | S | 120,520 | 5 | 112,072 |
| Accounts receivable, net | 4,941 | 3,344 | ||
| Other current assets | - | - | 428 | |
| TOTAL ASSETS | S | 125,461 | S | 115,844 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
| CURRENT LIABILITIES | ||||
| Accounts payable | 5 | 8,652 | $ | 6,731 |
| Deferred revenue | 4,825 | 13,248 | ||
| Payable to Teachers | 1,365 | |||
| Other current liabilities | - | 138 | _ | 138 |
| TOTAL LIABILITIES | _ | 14,980 | 1 | 20,117 |
| STOCKHOLDERS' EQUITY | ||||
| Common stock (1,000 voting shares anthorized, 500 shares issued and | 5 | 5 | ||
| outstanding, $0.01 par value) | ||||
| Common stock (1,000 non-voting shares authorized, no shares issued | ||||
| and outstanding, $0.01 par value) | ||||
| Additional Paid in Capital | 74,995 | 74,995 | ||
| Stockholder's contribution | 25,662 | 25,662 | ||
| Retained earnings (accumulated deficit) | _ | 9,819 | (4,935) | |
| Total stockholders' equity | 110,481 | 95,727 | ||
| TOTAL LIABILITIES & STOCKHOLDERS' EQUI |
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, the total liabilities and stockholders' equity in 2020 was $115,844. This figure represents the sum of what Gokhale Method owed to others (liabilities) and the value of the company belonging to its owners (stockholders' equity) at the end of the 2020 fiscal year. This value is derived from the company's balance sheet, a standard financial statement summarizing assets, liabilities, and equity at a specific point in time.
For a prospective franchisee, this number provides a snapshot of Gokhale Method's financial structure during 2020. It indicates the extent to which the company was financed by debt versus equity. A significant change in this number over time could signal shifts in the company's financial strategy or performance. Reviewing balance sheets across multiple years helps to identify trends and assess the financial stability of Gokhale Method.
It's important to note that while this figure provides a historical view, it does not guarantee future financial performance. Potential franchisees should consider this information in conjunction with other financial statements, such as the income statement and cash flow statement, to gain a comprehensive understanding of Gokhale Method's financial health. Additionally, comparing these figures to industry benchmarks can provide further context on the company's financial position relative to its competitors.