What were the operating cash flows from operating leases for Benjamin Franklin Plumbing in 2022?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
ered fixed, and instead expenses these costs as incurred.
The following table describes the future maturities of the Company's operating and finance lease liabilities at December 31, 2024:
| Finance Leases | Operating Leases | |
|---|---|---|
| 2025 | $ 5,270 | $ 4,056 |
| 2026 | 4,383 | 3,541 |
| 2027 | 3,105 | 3,031 |
| 2028 | 1,549 | 2,241 |
| 2029 | 352 | 1,826 |
| Thereafter | - | 799 |
| Total minimum lease payments | 14,659 | 15,494 |
| Less |
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to the 2025 FDD, Benjamin Franklin Plumbing's operating cash flows from operating leases in 2022 were $3,529. This figure represents the cash generated from the company's operating leases during that year.
For a prospective franchisee, understanding these cash flows is crucial as it provides insight into how leasing impacts the overall financial health of Benjamin Franklin Plumbing. Operating leases are typically for assets like office space or equipment necessary for running the business. The cash flow from these leases indicates the net financial impact, considering both income and expenses related to these leases.
It's important to note that this figure is specific to the franchisor, Benjamin Franklin Franchising SPE LLC, and may not directly translate to the financial performance of an individual franchise unit. However, it offers a glimpse into the company's financial strategies and obligations related to leasing, which can be a factor in assessing the stability and management of the franchise system. Franchisees should further investigate their own potential leasing costs and revenues as part of their due diligence.