What was the gain on the sale of leased vehicles for Buildingstars in 2023?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
3 | 8,759,493 | | S Corporation Distributions | - | - | (9,387,259) | (9,387,259) | | Balance at December 31, 2024 | $ 500 | $ 1,386,511 | $ 2,302,263 | $ 3,689,274 |
BUILDINGSTARS INTERNATIONAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS
| Years Ended December 31, | ||||||
|---|---|---|---|---|---|---|
| 2024 | 2023 | 2022 | ||||
| OPERATING ACTIVITIES | ||||||
| Net income | $ | 8,759,493 | $ | 8,227,718 | $ | 7,513,928 |
| Adjustments to reconcile net income to net cash | ||||||
| provided by operati |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 34–43)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, the gain on the sale of leased vehicles in 2023 was $(151,292). This figure is reported as part of the adjustments to reconcile net income to net cash provided by operating activities. It is important to note that the amount is negative, indicating a gain.
For a prospective Buildingstars franchisee, understanding this number is crucial for assessing the company's financial performance. Gains from the sale of leased vehicles can contribute to the overall profitability of the company. However, it's important to consider that such gains may not be consistent from year to year, as they depend on the company's decisions regarding its vehicle fleet.
It is also important to note that the gain on the sale of leased vehicles is just one component of Buildingstars's overall financial picture. A prospective franchisee should carefully review all of the financial statements and related notes in the FDD to get a complete understanding of the company's financial condition and results of operations. This includes analyzing trends in revenue, expenses, and cash flow, as well as understanding the company's debt obligations and other liabilities.
Finally, a prospective franchisee should consult with a qualified financial advisor to help them interpret the financial information in the FDD and assess the financial risks and rewards of investing in a Buildingstars franchise.