What were the total accounts payable and accrued expenses for Mr. Sandless as of December 31, 2023?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
| ASSETS | ||||
|---|---|---|---|---|
| YEARS ENDED DECEMBER 31 | 2024 | 2023 | ||
| Current Assets | ||||
| Cash | $ | 35,452 | $ | 50,575 |
| Accounts receivable | 41,949 | 49,667 | ||
| Inventory | 8,013 | 8,013 | ||
| Due from related party | 300 | 64,122 | ||
| Total Current Assets | 85,714 | 172,377 | ||
| Property and Equipment-net | 44,492 | 64,898 | ||
| Security deposit | 2,000 | 2,000 | ||
| Total Assets | $ | 132,206 | $ | 239,275 |
| LIABILITIES AND MEMBERS' (DEFICIT) | ||||
| Current Liabilities | ||||
| Accounts payable and accrued expenses | $ | 4,275 | $ | 244 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 41–42)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, the company's accounts payable and accrued expenses as of December 31, 2023, were $244.
Accounts payable and accrued expenses are current liabilities, representing short-term obligations that Mr. Sandless is expected to pay within a year. These can include amounts owed to suppliers, vendors, and other service providers for goods and services already received but not yet paid for. Accrued expenses are those that have been incurred but not yet invoiced or paid, such as accrued wages or utilities.
The relatively low figure of $244 for accounts payable and accrued expenses at the end of 2023 could indicate efficient management of short-term liabilities or a business model that requires minimal outstanding payables. A prospective franchisee should compare this figure to industry benchmarks and previous years to assess whether it is typical for Mr. Sandless and to understand the company's financial management practices. Reviewing these figures over time can reveal trends and potential areas of concern or strength in Mr. Sandless's financial operations.