What was the net income for All Team at the end of December 31, 2022?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
r Income (Expenses) | 559,855 | 313,671 | | NET INCOME | $ 201,944 | $ 224,177 |
ALL TEAM FRANCHISE CORPORATION STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY
FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022
| Balance at December 31, 2021 | $ 1,000 | $ 119,000 | $ | 311,577 | $ | 431,577 |
|---|---|---|---|---|---|---|
| Net income | 224,177 | 224,177 | ||||
| Stockholder distributions | (8,392) | (8,392) | ||||
| Balance at December 31, 2022 | 1,000 | 1 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the net income at the end of December 31, 2022, was $201,944. This figure represents the company's profit after all expenses and taxes have been deducted from its total revenue for that year. This information is derived from the statement of changes in stockholder's equity.
For a prospective All Team franchisee, understanding the franchisor's net income can provide insights into the financial health and stability of the company. A positive net income suggests that the company is profitable and potentially has the resources to support its franchisees. However, it is essential to consider this figure in conjunction with other financial metrics and industry benchmarks to get a comprehensive view of the company's performance.
It's also important to note that All Team, as an S Corporation, does not pay federal income taxes at the corporate level. Instead, the company's income is passed through to its shareholder's individual income tax return. This structure can impact the reported net income and should be considered when evaluating the company's financial statements. A potential franchisee should consult with a financial advisor to fully understand the implications of this tax structure and its potential impact on their investment.