What was the net cash used by financing activities for C12 Group in 2022?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
1, 2022 | 1,843,880 | | Net income | 1,125,446 | | Distributions | (280,216) | | Balance at December 31, 2023 | $ 2,689,110 | THE C12 GROUP, LLC Statements of Cash Flows Years Ended December 31, 2023 and 2022
| 2023 | 2022 | |
|---|---|---|
| Operating Activities | 8 | |
| Net |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, the net cash used by financing activities in 2022 was $109,518. This figure represents the cash outflow related to the company's financing activities during that year, specifically distributions.
For a prospective C12 Group franchisee, understanding the company's cash flow from financing activities provides insight into how the company manages its capital structure. A consistent use of cash in financing activities might indicate a strategy of returning capital to its members or investors. However, it is essential to consider this figure in conjunction with other financial metrics to gain a comprehensive understanding of the company's financial health.
It's important to note that this figure only reflects the net cash used by financing activities and does not provide a complete picture of C12 Group's overall financial performance. Prospective franchisees should review the entire financial statement, including cash flow from operating and investing activities, to assess the company's financial stability and growth potential. Additionally, it would be prudent to inquire about the specific reasons for cash distributions and their potential impact on the company's future financial position.