What was the amount of accounts receivable from a related party for Kitchen Solvers in 2024?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
esentation. These reclassifications have no effect on previously reported net income.
Note 10 Related Party Transactions
Accounts receivable from a related party amount to the following for the years en
Source: Item 21 — Financial Statements (FDD pages 48–49)
What This Means (2025 FDD)
According to Kitchen Solvers' 2025 Franchise Disclosure Document, the accounts receivable from a related party totaled $174,152 as of December 31, 2024. In comparison, for the years 2023 and 2022, the accounts receivable from a related party were $0.
This indicates that Kitchen Solvers had a notable amount of business transactions with a related party in 2024, which resulted in this receivable. A 'related party' generally refers to an entity or individual that has a close relationship with Kitchen Solvers, such as a subsidiary, affiliate, or key executive.
For a prospective franchisee, this information highlights the importance of understanding the nature and extent of Kitchen Solvers' related-party transactions. It would be prudent to inquire about the details of these transactions, including the identity of the related party, the nature of the transactions, and the terms of repayment. Understanding these relationships can provide a more comprehensive view of the company's financial health and potential risks.