What was the net cash provided (used) by investing activities for Bombs Away?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
WAY FRANCHISING LLC STATEMENT OF CASHFLOWS FOR THE YEAR ENDED DECEMBER 31, 2023
| Net Income | $ (27,161) |
|---|---|
| Non-Cash Adjustments | |
| Changes in Current Assets | (515) |
| Changes in Deferred Revenue | 15,000 |
| NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES | (12,676) |
| INVESTING ACTIVITIES | |
| NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES | - |
| FINANCING ACTIVITIES | |
| Owner's Contribution | (91,721) |
| Due to Related Party | 59,397 |
| NET CASH PROVIDED (USED) BY FINANCING ACTIVITIES | (32,324) |
| NET INCREASE (DECREASE) IN CASH | (45,001 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 35)
What This Means (2024 FDD)
According to Bombs Away's 2024 Franchise Disclosure Document, the net cash provided (used) by investing activities was not specified, as indicated by a hyphen in the financial statement. This means that during the year ending December 31, 2023, Bombs Away did not have any recorded cash flow activities related to investing.
For a prospective franchisee, this could indicate that Bombs Away was not making significant investments in its own growth or assets during that period. This might be because it is a relatively new franchise system or because it is focusing on other areas of its business, such as operations or franchise sales.
It is important to note that the absence of investing activities does not necessarily reflect negatively on Bombs Away. However, a prospective franchisee may want to inquire about Bombs Away's future investment plans and how they intend to support the growth of the franchise system.