What was the net increase in cash for All Team in 2023?
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 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the net increase in cash for the company in 2023 was $121,572. This figure represents the overall change in All Team's cash balance after accounting for all cash inflows (increases) and cash outflows (decreases) during that year. This metric is a key indicator of the company's financial health and liquidity.
Specifically, the statement of cash flows details the various activities that contributed to this net increase. These activities are categorized into operating, investing, and financing activities. Operating activities reflect the cash generated from All Team's core business operations, while investing activities relate to the purchase and sale of long-term assets. Financing activities involve transactions related to debt, equity, and dividends.
For a prospective All Team franchisee, the net increase in cash provides insight into the company's ability to generate and manage cash. A positive net increase suggests that All Team is effectively managing its finances and has sufficient cash flow to cover its obligations and invest in future growth. However, it's important to examine the individual components of the cash flow statement to understand the underlying drivers of this increase and assess the sustainability of All Team's cash flow generation.