What was the net decrease in cash and cash equivalents for Beard Papas in 2023?
Beard_Papas Franchise · 2025 FDDAnswer from 2025 FDD Document
December 31, 2023 and 2022
| Date | Print Name | Signature | |---|---|---| | | | | (A Wholly-Owned Subsidiary of Nagatanien Holdings Co., Ltd.)
Statements of Cash Flows
Years Ended December 31, 2023 and 2022
| 2023 | 2022 | |
|---|---|---|
| Cash flows from operating activities: | ||
| Net income (loss) $ | 79,942 | $ (55,963) |
| Adjustments to reconcile net income (loss) to net cash provided by (used in) | ||
| operating activities: | ||
| Depreciation and amortization | 4,176 | 6,189 |
| Non-cash lease expenses | 93,795 | 154 |
| Changes in operating assets and liabilities: | ||
| Accounts receivable | 175,158 | (151,953) |
| Due from affiliates | 6,689 | (2,892) |
| Inventories | (185,525) | 7,868 |
| Prepaid expenses and other current assets | (2,293) | 61,791 |
| Accounts payable | 211,246 | 6,054 |
| Due to affiliates | (25,428) | 16,087 |
| Accrued expense and other current liabilities | 130,673 | 3,494 |
| Deposit payable | (15,000) | - |
| Lease liability | (70,271) | (1,973) |
| Net cash provided by (used in) operating activities | 403,162 | (111,144) |
| Cash flows from investing activity: | ||
| Purchases of property and equipment | (434, 139) | |
| Security deposits | - | (13,048) |
| Net cash used in investing activity | (434,139) | (13,048) |
| Net decrease in cash and cash equivalents | (30,977) | (124,192) |
| 1 vot decrease in easif and easif equivalents | (30,977) | (124,192) |
| Cash and cash equivalents at beginning of year | 1,225,836 | 1,350,028 |
| Cash and cash equiva |
Source: Item 23 — RECEIPTS (FDD pages 58–275)
What This Means (2025 FDD)
According to Beard Papas's 2025 Franchise Disclosure Document, the net decrease in cash and cash equivalents for the company in 2023 was $30,977. This figure represents the overall reduction in Beard Papas's cash holdings and liquid assets during that year. This decrease could be due to various factors, such as investments in property and equipment, operational expenses, or other financial obligations.
For a prospective franchisee, this information provides insight into the financial performance and cash management of Beard Papas. A decrease in cash and cash equivalents could indicate that the company is investing in growth, facing financial challenges, or managing its cash flow in a specific way. It's essential to consider this figure in the context of the company's overall financial health and business strategy.
It is also important to note that the cash and cash equivalents at the end of 2023 were $1,194,859, compared to $1,225,836 at the beginning of the year. This provides a more complete picture of the company's cash position and how it changed over the course of the year. A prospective franchisee should investigate the reasons behind the decrease and assess whether it aligns with their investment goals and risk tolerance.