What were the proceeds from the credit line payable for All Team in 2024?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
$ | 667,144 | $ | 787,144 |
ALL TEAM FRANCHISE CORPORATION STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 2024 AND 2023
| 2024 | 2023 | ||
|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | |||
| Net income | $ (43,528) | $ 201,944 | |
| Adjustments to reconcile net income to net cash | |||
| provided by operating activities: | |||
| Allowance for credit losses | 6,000 | 5,501 | |
| Changes in account balances: | |||
| Accounts receivable - trade | 479,748 | 1,387,458 | |
| Prepaid expenses | (61,295) | (16,270) | |
| Advances | (434,801) | (605,008) | |
| Due from IRS | 49,780 | (49,780) | |
| Accounts payable-trade | (882) | 3,528 | |
| Accrued expenses | (107,077) | (45,671) | |
| Other funding liabilities | 213,416 | (326,541) | |
| Total Adjustments | 144,889 | 353,217 | |
| Total Cash Provided by Operating Activities | 101,361 | 555,161 | |
| 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 | 9,972,228 | 15,371,492 | |
| Principal payments on credit line payable | (10,433,329) | (15,758,708) | |
| Principal payment on related party note | (24,606) | (30,000) | |
| Stockholder distributions | (2,261) | (16,373) | |
| Total Cash Used in Financing Activities | (487,968) | (433,589) | |
| NET INCREASE IN CASH | (386,607) | 121,572 | |
| CASH, BEGINNING OF YEAR | 1,015,879 | 894,307 | |
| CASH, END OF YEAR | $ 629,272 | $ 1,015,879 |
**For the
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the proceeds from the credit line payable in 2024 were $9,972,228. This indicates the amount of funds All Team received from its credit line during that year.
For a prospective franchisee, understanding the franchisor's financing activities is crucial. The proceeds from the credit line payable can reflect All Team's investment in the business, potential expansion, or covering operational costs. A high proceeds value might suggest All Team is actively investing in growth, while consistent borrowing could also indicate financial instability.
It's important to note that while All Team received $9,972,228 from its credit line in 2024, they also made principal payments on the credit line payable amounting to $10,433,329 during the same period. This means that All Team's debt repayment exceeded the amount they borrowed from the credit line in 2024. Reviewing these figures in conjunction with other financial metrics provides a more comprehensive view of All Team's financial health and its ability to manage debt.