What was the cash and cash equivalents at the beginning of 2023 for Antioch Pizza Shop?
Antioch_Pizza_Shop Franchise · 2025 FDDAnswer from 2025 FDD Document
330 | 218,330 | | Balances at December 31, 2023 | 1,000 | $ | 10 | $ | 6,810 | $ | 245,516 | $ 252,336 |
STATEMENTS OF CASH FLOWS
For the years ended December 31, 2024, 2023, and 2022
| 2024 | 2023 | 2022 | ||||
|---|---|---|---|---|---|---|
| Cash flows from operating activities | ||||||
| Net income | $ | 218,330 | $ | 35,383 | $ | 259,523 |
| Adjustments to reconcile net income to | ||||||
| net cash provided by operating activities: | ||||||
| Changes in operating assets and liabilities: | ||||||
| Accounts receivable | (22,400) | - | - | |||
| Inventory | (7,650) | - | - | |||
| Deferred commissions | 8,008 | (16,973) | - | |||
| Related party payable | - | - | (44,521) | |||
| Accounts payable | (2,199) | 6,383 | (10,856) | |||
| Deferred revenue | - | 10,000 | 25,000 | |||
| Net cash provided by operating activities | 194,089 | 34,793 | 229,146 | |||
| Cash flows from financing activities | ||||||
| Stockholder dividends | (15,510) | (85,889) | (430,179) | |||
| Net cash used in financing activities | (15,510) | (85,889) | (430,179) | |||
| Net change in cash and cash equivalents | 178,579 | (51,096) | (201,033) | |||
| Cash and cash equivalents at beginning of period |
Source: Item 21 — Financial Statements (FDD page 56)
What This Means (2025 FDD)
According to Antioch Pizza Shop's 2025 Franchise Disclosure Document, the cash and cash equivalents at the beginning of 2023 was $126,781. This figure represents the amount of readily available funds the company had at the start of that year, which includes cash on hand and investments that can be quickly converted to cash. This information is derived from the Statements of Cash Flows.
For a prospective franchisee, understanding the franchisor's cash position is crucial. It provides insight into the financial stability and liquidity of Antioch Pizza Shop. A healthy cash balance suggests that the company is capable of meeting its short-term obligations and potentially investing in growth opportunities, which could benefit franchisees.
However, it's important to note that this is just one snapshot in time. Franchisees should also consider the trend of cash flow over multiple years, as well as other financial metrics, to get a more comprehensive understanding of Antioch Pizza Shop's financial health. Reviewing the complete financial statements and seeking professional financial advice is recommended to assess the overall risk and potential of investing in an Antioch Pizza Shop franchise.