What was the net cash used for investing activities for Aunt Millies Bakeries in 2023?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
----------------------------------------------|-------------------------------------|---------------------------------------| | Net income (loss) | $ 14,199,697 | $ (5,256,940) | | Other comprehensive income (loss) Interest rate swap Change in benefit plans, net | | | | | (281,013) | 307,182 | | | 556,711 | (458,749) | | | 275,698 | (151,567) | | Comprehensive income (loss) | $ 14,475,395 | $ (5,408,507) |
PERFECTION BAKERIES, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS Years ended September 30, 2023 and 2022
| 2023 | 2022 | |||
|---|---|---|---|---|
| Cash flows from operations | ||||
| Net income (loss) | $ | 14,199,697 | $ | (5,256,940) |
| Adjustments to reconcile net income (loss) to net cash provided by | , , | |||
| (used for) operations | ||||
| Depreciation and amortization | 8,371,434 | 8,235,893 | ||
| Lease expense | 6,704,501 | - | ||
| Gain from property disposal | (339,370) | (371,313) | ||
| Change in assets and liabilities: | ||||
| Receivables, net | (3,671,470) | (2,874,426) | ||
| Inventories, net | (972,290) | (2,928,397) | ||
| Prepaid expenses | (1,064,138) | (353,554) | ||
| Other assets | (115,533) | 419,033 | ||
| Accounts payable | 1,925,254 | 3,207,295 | ||
| Pension plan withdrawal liability | (507, 177) | (474,913) | ||
| Lease payable | (7,099,381) | - | ||
| Accrued expenses and other liabilities | (508,861) | _ | (4,864,365) | |
| Net cash provided by (used for) operations | 16,922,666 | (5,261,687) | ||
| Cash flows from investing activities | ||||
| Capital expenditures | (6,639,634) | (6,267,927) | ||
| Payments received from notes receivable | 711,589 | 816,239 | ||
| Proceeds received from sale of property | 310,028 | (44,670) | ||
| Net cash used for investing activities | (5,618,017) | (5,496,358) | ||
| Cash flows from financing activities | ||||
| Borrowings on line of credit | 74,936,095 | 68,684,532 | ||
| Payments on line of credit | (80,640,650) | (62,459,825) | ||
| Borrowings on subordinated revolving credit facility | 288,402 | - | ||
Source: Item 23 — RECEIPT (FDD pages 44–196)
What This Means (2025 FDD)
According to Aunt Millies Bakeries' 2025 Franchise Disclosure Document, the net cash used for investing activities in 2023 was $(5,618,017). This figure represents the total cash outflow resulting from investments made by the company during that year. These investments can include capital expenditures, payments received from notes receivable, and proceeds received from the sale of property.
For a prospective franchisee, understanding the net cash used for investing activities provides insight into how Aunt Millies Bakeries is allocating its resources. A significant outflow in investing activities might indicate that the company is investing heavily in its infrastructure, equipment, or other assets, which could lead to future growth and improved operational efficiency. However, it is essential to consider the specific types of investments being made to assess their potential impact on the franchise system.
It's also important to note that this figure is part of the overall cash flow statement, which includes cash flows from operations and financing activities. Analyzing all three components provides a comprehensive view of Aunt Millies Bakeries' financial health and its ability to fund its operations and growth. A potential franchisee should review these figures in conjunction with other financial data and consult with a financial advisor to make an informed investment decision.