What was the total amount of long-term liabilities for Gold Star Chili, Inc.?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
| GSC | |||||
|---|---|---|---|---|---|
| Gold Star | Properties, | ||||
| Chili, Inc. | LLC | TCWW, LLC | Eliminations | Total | |
| Long-Term Liabilities | |||||
| (Less Current Portion) | |||||
| Line of Credit | 1,399,992 | - | - | - | 1,399,992 |
| Installment Note Payable | 7,151,608 | 5,931,166 | - | (1,817,565) | 11,265,209 |
| Operating Lease Liabilities | 8,674,979 | - | 1,855,590 | - | 10,530,569 |
| Advances - Related Party | - | - | 3,441,832 | (3,441,832) | - |
| Deferred Franchise Fees | 60,041 | 5,867 | 65,908 | ||
| Total Long-Term Liabilities | 17,286,620 | 5,931,166 | 5,303,289 | (5,259,397) | 23,261,678 |
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the total long-term liabilities for Gold Star Chili, Inc. were $17,286,620. This figure represents the company's long-term debt obligations, excluding the current portion, as of December 31, 2024.
Specifically, these long-term liabilities include items such as the line of credit amounting to $1,399,992, installment notes payable totaling $7,151,608, and operating lease liabilities of $8,674,979. Additionally, deferred franchise fees contribute $60,041 to the total. These figures are crucial for prospective franchisees to understand the financial structure and long-term obligations of Gold Star.
Understanding the breakdown of these liabilities can help a potential franchisee assess the financial stability and risk associated with investing in a Gold Star franchise. Reviewing the balance sheet and understanding the nature of these liabilities is a key part of due diligence.