What is the long-term portion of the notes payable for Kitchen Solvers as of 2024?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
itution in the amount of $100,000. Outstanding advances on this line of credit totaled $0 at December 31, 2024, 2023 and 2022.
Note 6 Long-Term Notes Payable
Long-term notes payable consists of the following:
| 2024 | 2023 | 2022 | |||
|---|---|---|---|---|---|
| 7.25% note payable to State Bank, secured | $ 25,157 | $ 43,680 | $ | - | |
| by equipment, payable at $1,760 including |
Source: Item 21 — Financial Statements (FDD pages 48–49)
What This Means (2025 FDD)
According to Kitchen Solvers's 2025 Franchise Disclosure Document, the long-term portion of notes payable as of December 31, 2024, was $5,217. This figure represents the amount of the 7.25% note payable to State Bank that is not due within the next year. The note is secured by equipment and is payable in monthly installments of $1,760, including interest, and matures in 2026.
This long-term debt is part of Kitchen Solvers's overall liabilities, which totaled $1,886,744 as of December 31, 2024. The total assets for the company at that time were $2,111,389. The long-term note payable is with State Bank, bearing an interest rate of 7.25%, and is secured by equipment.
Prospective franchisees should consider the details of Kitchen Solvers's debt structure, including interest rates, maturity dates, and security arrangements, as these obligations could impact the franchisor's financial stability and ability to support its franchisees. Reviewing the complete financial statements and notes is essential to understanding the franchisor's financial health and potential risks.