What was the total cash used in financing activities by All Team in 2023?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2023 2022 | ||
|---|---|---|
| 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) |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the total cash used in financing activities in 2023 was $(433,589). This figure represents the net effect of various financing activities on All Team's cash flow during that year.
Specifically, this total includes proceeds from a credit line payable of $15,371,492, principal payments on the credit line payable of $(15,758,708), a principal payment on a related party note of $(30,000), and stockholder distributions of $(16,373). The negative sign indicates that these activities resulted in a cash outflow for All Team.
For a prospective franchisee, understanding these financing activities is crucial. It provides insight into how All Team manages its debt and equity financing, which can reflect the financial stability and strategic decisions of the company. Reviewing these figures over several years, as presented in the FDD, can reveal trends and patterns in All Team's financing strategies, offering a more comprehensive view of its financial health.