What were the advances for All Team in 2022?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
(16,373) | | (16,373) | | Balance at December 31, 2023 | $ 1,000 | $ 119,000 | $ | 712,933 | $ | 832,933 |
ALL TEAM FRANCHISE CORPORATION STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022
| 2023 2022 | ||
|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | ||
| Net income | $ 201,944 | $ 224,177 |
| Adjustments to reconcile net income to net cash | ||
| provided by operating activities: | ||
| Allowance for credit losses | 5,501 | 6,000 |
| Changes in account balances: | ||
| Accounts receivable - trade | 1,387,458 | 34,529 |
| Prepaid expenses | (16,270) | 35 |
| Advances | (605,008) | (169,476) |
| Due from IRS | (49,780) | |
| Accounts payable-trade | 3,528 | - |
| Accrued expenses | (45,671) | 51,228 |
| Other funding liabilities | (326,541) | 818,817 |
| Total Adjustments | 353,217 | 741,133 |
| Total Cash Provided by Operating Activities | 555,161 | 965,310 |
| CASH FLOWS FROM INVESTING ACTIVITIES | ||
| Payments on note receivable - franchises | - | - |
| Total Cash Provided by Investing Activities | - | - |
| CASH FLOWS FROM FINANCING ACTIVITIES | ||
| Proceeds from credit line payable | 15,371,492 | 21,942,195 |
| Principal payments on credit line payable | (15,758,708) | (22,540,407) |
| Principal payment on related party note | (30,000) | - |
| Stockholder distributions | (16,373) | (8,392) |
| Total Cash Used in Financing Activities | (433,589) | (606,604) |
| NET INCREASE IN CASH | 121,572 | 358,706 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the statements of cash flows include information about advances. In 2022, the advances were listed as ($169,476). This figure appears as part of the adjustments to reconcile net income to net cash provided by operating activities.
This means that All Team used $169,476 for advances during its operating activities in 2022. For a prospective franchisee, this indicates the company's cash management practices and how it allocates funds within its operations. Advances could be related to various operational needs, such as prepayments to suppliers or other investments in the business.
It's important to note that this figure is part of a larger statement of cash flows, which provides a comprehensive view of All Team's financial activities. Reviewing the entire statement, including other adjustments and cash flow categories, can provide a more complete understanding of the company's financial health and stability. Understanding these cash flow dynamics can help a franchisee assess the financial management practices of All Team and their potential impact on the franchisee's own business operations.