table_specific

What was the accounts payable amount for Ledgers in 2024?

Ledgers Franchise · 2025 FDD

Answer from 2025 FDD Document

doubt about Loyalty Business Services, LLC's ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.

Bernard Robinson & Company, I.S.P.

Raleigh, North Carolina April 28, 2025

${\bf LOYALTY; BUSINESS; SERVICES,; LLC; (FORMERLY; FIDE; HOLDING,; LLC)}$

Balance Sheets

December 31, 2024, 2023 and 2022

2 Assets
2024 2023 2022
Current Assets: S
Cash and cash equivalents $ 424,085 $ 181,077 $ 264,411
Royalty receivables 3,190 3,302 -
Notes receivable, current 40,760 229,901
Total Current Assets 427,275 225,139 494,312
Non-Current Assets:
Notes receivable, less current portion = 634,000
Due from related parties 630,180 1,229,516 1,320,815
Deferred tax asset 715,000 611,000 513,000
Total Non-Current Assets 1,345,180 1,840,516 2,467,815
Total Assets $ 1,772,455 $ 2,065,655 $ 2,962,127
Liabilities and Members' Equity
Current Liabilities:
Accounts payable $ 15,010 $ 15,010 $ 125,974
Accrued expenses 4,755 9,975 5,152
Due to related parties 852,180 737,180 305,000
Deferred revenue - current 24,000 94,000

Source: Item 22 — CONTRACTS (FDD page 46)

What This Means (2025 FDD)

According to Ledgers' 2025 Franchise Disclosure Document, the company's accounts payable for 2024 was $15,010. This figure is part of the current liabilities listed in the balance sheet. Current liabilities represent obligations that Ledgers expects to settle within one year.

Accounts payable specifically refers to the short-term debts Ledgers owes to its suppliers or vendors for goods and services received but not yet paid for. This is a common metric used to assess a company's short-term financial health and liquidity. A higher accounts payable balance could indicate that Ledgers is taking longer to pay its suppliers, which might be a strategic decision to manage cash flow or could indicate financial strain.

In addition to the overall accounts payable, the FDD also provides a breakdown of specific accounts payable to related parties. For 2024, these include $7,000 to Hewitt Construction, $519,000 to Zoomin Groomin, and $326,180 to ATAX, LLC. This detailed breakdown gives a prospective franchisee insight into the nature of Ledgers' obligations and relationships with these specific entities. Understanding these relationships can be important for assessing the overall financial stability and operational practices of the franchise system.

Prospective franchisees should consider the accounts payable in the context of Ledgers' overall financial position, including its assets, revenues, and other liabilities. Comparing these figures over the three years presented (2022, 2023, and 2024) can reveal trends and potential areas of concern or strength. It is also advisable to inquire about Ledgers' payment terms with its suppliers and its policies for managing accounts payable to ensure sustainable financial practices.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.