What was the net cash provided (used) by investing activities for Buildingstars in 2022?
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 operating activities | ||||||
| Depreciation and amortization | 477,716 | 469,583 | 387,132 | |||
| Gain on sale of leased vehicles | (222,474) | (151,292) | (41,623) | |||
| Noncash lease expense | (3,599) | 37,321 | 3,867 | |||
| Changes in | ||||||
| Accounts receivable | 593,592 | (191,399) | 1,192,423 | |||
| Notes receivable | (524,977) | (514,990) | 192,764 | |||
| Prepaid expenses and other | (19,552) | (42,775) | (125,410) | |||
| Other assets | (24,355) | 6,144 | (20,202) | |||
| Accounts payable | 335,619 | 343,215 | 169,791 | |||
| Accrued expenses | 269,571 | 161,532 | 173,546 | |||
| Deferred franchise sales revenue | 490,634 | 488,873 | (169,298) | |||
| Net cash provided by operating activities | 10,131,668 | 8,833,930 | 9,276,918 | |||
| INVESTING ACTIVITIES | ||||||
| Purchase of property and equipment | (24,842) | - | (23,004) | |||
| Acquisition of business | - | - | (682,738) | |||
| Proceeds from sale of property and equipment | - | - | 21,520 | |||
| Repayment from (advances to) related parties | 664,324 | (70,969) | 130,691 | |||
| Net cash provided (used) by investing activities | 639,482 | (70,969) | (553,531) | |||
| FINANCING ACTIVITIES | ||||||
| Payment of finance lease obligations | (672,468) | (205,683) | (220,916) | |||
| S Corporation distributions | (9,387,259) | (7,314,440) | (9,788,950) | |||
| Net cash used by financing activities | (10,059,727) | (7,520,123) | (10,009,866) | |||
| NET INCREASE (DECREASE) IN CASH | 711,423 | 1,242,838 | (1,286,479) | |||
| CASH, Beginning | 4,106,102 | 2,863,264 | 4,149,743 | |||
| CASH, Ending | $ | 4,817,525 | $ | 4,106,102 | $ | 2,863,264 |
| SUPPLEMENTAL DISCLOSURES | ||||||
| Interest paid | $ | 16,918 | $ | 31,858 | $ | 49,5 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 34–43)
What This Means (2025 FDD)
According to Buildingstars' 2025 Franchise Disclosure Document, the net cash used by investing activities in 2022 was ($553,531). This figure reflects the total cash flow resulting from Buildingstars' investments during that year.
Specifically, this amount is the sum of several factors. Buildingstars' purchase of property and equipment totaled ($23,004). The acquisition of a business cost ($682,738). Proceeds from the sale of property and equipment generated $21,520. Repayments from (advances to) related parties resulted in $130,691.
For a prospective franchisee, understanding these cash flow dynamics can provide insight into how Buildingstars manages its capital and invests in its business operations. Investing activities are crucial for long-term growth and sustainability, and this information helps potential franchisees assess the financial health and investment strategies of Buildingstars.