What is the amount of restricted cash reported for C12 Group in 2024?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
The Company is subject to the Texas margin tax.
NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued
Advertising: Advertising costs are expensed as incurred and amounts are insignificant.
Concentrations of Risk: Financial instruments that potentially expose the Company to credit risk consist principally of cash and trade accounts receivables. The Company occasionally maintains cash balances in financial institutions that exceed the amounts insured by the FDIC. The Company periodi
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
The 2025 Franchise Disclosure Document for C12 Group does not explicitly state a specific amount for "restricted cash" in 2024. However, Note A discusses cash balances exceeding FDIC insurance limits.
Specifically, the document mentions that C12 Group occasionally maintains cash balances in financial institutions exceeding the amounts insured by the FDIC. For the year 2024, cash balances in excess of the insured limit totaled approximately $718,000.
While this refers to cash exceeding insured limits rather than explicitly "restricted cash," it indicates a significant amount of cash held by C12 Group that could be relevant to a franchisee's assessment of the company's financial health. A prospective franchisee may want to ask C12 Group about their specific definition of restricted cash and how it is accounted for in their financial statements.