What were the total liabilities for Kitchen Solvers as of December 31, 2022?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Balance Sheets | ||||||
|---|---|---|---|---|---|---|
| December 31, 2024, 2023, and 2022 | ||||||
| Assets | 2024 | 2023 | 2022 | |||
| Current liabilities: | ||||||
| Accounts payable | $ 53,515 | $ 21,944 | $ 60,760 | |||
| Accrued and other liabilities | 25,258 | 7,452 | 7,452 | |||
| Note payable - Shareholder | 4,378 | 1,923 | 18,049 | |||
| Current portion of long-term note payable | 19,940 | 18,523 | - | |||
| Deferred revenue | 88,310 | 76,042 | - | |||
| Contract liabilities - Current | 257,082 | 210,682 | 193,047 | |||
| Operating lease liability - Current | 13,578 | 39,479 | 30,861 | |||
| Total current liabilities | 462,061 | 376,045 | 310,169 | |||
| Long-term liabilities: | ||||||
| Contract liabilities | 1,419,466 | 1,236,455 | 1,082,638 | |||
| Long-term note payable - Less current maturities | 5,217 | 25,157 | - | |||
| Operating lease liability | - | 13,578 | 32,725 | |||
| Total long-term liabilities | 1,424,683 | 1,275,190 | 1,115,363 | |||
| Total liabilities | 1,886,744 | 1,651,235 | 1,425,532 | |||
| Members' equity | 224,645 | 64,975 | 58,335 | |||
| TOTAL LIABILITIES AND MEMBERS' EQUITY | $ 2,111,389 | $ 1,716,210 | $ 1,483,867 |
Source: Item 23 — Receipts (FDD pages 49–190)
What This Means (2025 FDD)
According to Kitchen Solvers' 2025 Franchise Disclosure Document, the company's total liabilities as of December 31, 2022, were $1,425,532. This figure represents the sum of all current liabilities ($310,169) and long-term liabilities ($1,115,363) at that time.
For a prospective Kitchen Solvers franchisee, understanding the franchisor's liabilities can provide insight into the financial stability and overall health of the company. A high level of liabilities might indicate greater financial risk, while a lower level could suggest a more stable financial foundation. It is important to note that liabilities are a normal part of business operations, and the context of these liabilities within the broader financial picture of Kitchen Solvers is crucial.
Specifically, the current liabilities consist of accounts payable, accrued and other liabilities, a note payable to a shareholder, the current portion of a long-term note payable, deferred revenue, current contract liabilities, and the current portion of operating lease liabilities. The long-term liabilities primarily consist of contract liabilities and operating lease liabilities. Reviewing these specific liability types can offer a more detailed understanding of Kitchen Solvers' obligations.
Franchisees should consider these figures in conjunction with Kitchen Solvers' assets and equity to assess the company's solvency and ability to meet its financial obligations. Consulting with a financial advisor to interpret these financial statements is advisable for any potential franchisee.