What was the accounts payable amount to Zoomin Groomin for Ledgers in 2022?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
ssified to conform to the current year presentation.
Subsequent Events
The Company has evaluated events and transactions for potential recognition or disclosure through April 28, 2025, which is the date the financial statements were available to be issued.
NOTE 2 - RELATED PARTY TRANSACTIONS
During the ordinary course of business, the Company enters into certain transactions with related parties substantially due to short term advances and cost reimbursements. The Company had related party transactions reco
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, the accounts payable amount to Zoomin Groomin in 2022 was $150,000. This figure represents the amount Ledgers owed to Zoomin Groomin for services or goods received but not yet paid for as of the end of 2022.
Accounts payable is a crucial short-term liability that indicates the company's obligations to its suppliers and vendors. A higher accounts payable balance could suggest that Ledgers is utilizing its credit terms effectively or is potentially facing short-term cash flow constraints. Conversely, a lower balance might indicate prompt payment practices or lower procurement levels from that particular vendor.
For a prospective franchisee, understanding the accounts payable trend and amounts owed to related parties like Zoomin Groomin provides insight into Ledgers's financial management and its relationships with key suppliers. It's important to assess whether these payables are managed efficiently and if they reflect healthy business operations. Significant fluctuations or large balances with related parties could warrant further investigation to ensure transparency and stability in the franchisor's financial dealings.
It is also important to note that accounts payable to Zoomin Groomin in 2023 was $436,000 and in 2024 was $519,000. This shows a trend of increasing accounts payable to Zoomin Groomin.