What amount of cash did Bang Cookies have in its bank accounts as of December 31, 2023?

According to Bang Cookies' 2024 Franchise Disclosure Document, as of December 31, 2023, Bang Cookies had approximately $11,323 in cash in its bank accounts. The FDD specifies that the company considers all cash in the bank and investments in highly liquid debt instruments with maturities of three months or less to be cash equivalents. This figure represents the total cash readily available to Bang Cookies at that specific point in time.

It's important to note that Bang Cookies maintains its cash balance in U.S. noninterest-bearing transaction accounts, which are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000. However, the FDD also mentions that the company's cash balance might exceed the FDIC insurance limits. This means that if Bang Cookies held more than $250,000 in these accounts, the excess amount would not be insured by the FDIC, posing a potential risk in the event of a bank failure.

For a prospective franchisee, this information provides a snapshot of Bang Cookies' financial health and liquidity at the end of 2023. While $11,323 may seem like a modest amount, it's essential to consider this figure in the context of the company's overall financial performance, including its revenues, expenses, and other assets and liabilities. Reviewing the complete financial statements included in Item 23 of the FDD will give potential franchisees a more comprehensive understanding of Bang Cookies' financial position.