What was the reported amount of distributions related to financing activities for Beggars Pizza?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| Cash flows from operating activities: | ||
|---|---|---|
| Net income | $ 800,280 Changes in operating assets and liabilities: | $ 705,221 |
| Royalty receivables | (5,455) | |
| Prepaid Expenses | (85,551) | |
| Accounts payable | 25,825 | |
| Accrued state taxes | (34,979) | |
| Deferred franchise fees | 12,500 | |
| Net cash flows from operating activities | 687,620 | |
| Cash flows from financing activities - distributions | (638,217) | (736,087) |
| Net change in cash | 49,403 | |
| Cash - beginning of the year | 174,543 | 198,397 |
| Cash - end of the year | $ 223,946 |
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, cash flow statements include details on distributions related to financing activities. In 2023, these distributions amounted to $(638,217), while in 2022, they were $(736,087). These figures represent the cash outflows from Beggars Pizza related to its financing activities, which primarily consist of distributions to its members or owners.
These distributions reflect how Beggars Pizza allocates its financial resources to its members. A higher negative value indicates a larger amount of cash being distributed. Prospective franchisees should consider these figures as indicators of the company's financial management and its approach to distributing profits. Understanding these cash flow dynamics can help franchisees assess the financial stability and practices of Beggars Pizza.
It is important to note that these distributions are not directly related to the operations of a franchised Beggars Pizza restaurant. Instead, they reflect the financial activities at the Beggars Pizza franchisor level. However, the franchisor's financial health can indirectly impact franchisees, as it affects the support, resources, and brand development that the franchisor can provide. Therefore, reviewing these figures in the context of the overall FDD can offer a more comprehensive understanding of the franchise system's financial landscape.