What was the total value of Mr. Sandless's current liabilities at the end of 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 |
| Contract Liability | 57,000 61,275 | 75,000 75,244 | ||
| Contract Liability, net of current | 234,000 | 360,000 | ||
| Members' (Deficit) | (163,069) | (195,969) | ||
| Total Liabilities and Members' (Deficit) | $ | 132,206 | $ | 239,275 |
**MR.
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 balance sheet for the year ending December 31, 2023, shows specific figures for its current liabilities. These liabilities represent the company's short-term financial obligations, which are due within one year. Understanding these figures is crucial for potential franchisees to assess the company's financial health and stability.
As of December 31, 2023, Mr. Sandless's current liabilities included accounts payable and accrued expenses totaling $244, and contract liability of $75,000. There was no due to related party liability listed. The total current liabilities for Mr. Sandless amounted to $75,244.
Prospective franchisees should carefully consider these liabilities as they indicate the company's immediate financial obligations. A high level of current liabilities compared to current assets could suggest potential liquidity issues. Reviewing these figures in conjunction with other financial data, such as revenue and expenses, will provide a more comprehensive understanding of Mr. Sandless's financial standing.