What was the net change in notes receivable for Caring Senior Service in 2023?
Caring_Senior_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
ears Ended December 31, 2024, 2023, and 2022**
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Operating Activities | |||
| Net income (loss) | $ 419,016 | $ (174,967) | $ (464,786) |
| Adjustments to Reconcile Net Loss to Net Cash | |||
| Provided (Used) by Operating Activities: | |||
| Depreciation expense | 5,627 | 9,644 | 9,644 |
| Changes in: | |||
| Accounts receivable | (64,728) | 57,854 | 64,930 |
| Prepaid expenses | 12,560 | 47,249 | (23,911) |
| Accounts payable | (8,512) | (6,701) | 108,326 |
| Interest payable | 37,212 | - | - |
| Grab the bars fundraiser liability | - | - | (109,343) |
| Employee lease liability - related party | (5,461) | 42,588 | 19,804 |
| Accrued state franchise taxes | 5,185 | 7,203 | (1,503) |
| Deferred franchise fees | 38,244 | 40,967 | (71,868) |
| Net Cash Provided (Used) by Operating Activities | 439,143 | 23,837 | (468,707) |
| Investing Activities | |||
| Net changes in notes receivable | (51,846) | 12,000 | (10,450) |
| Net changes in loans to partner-owned entities | (116,539) | (100,000) | (52,000) |
| Net Cash Provided (Used) by Investing Activities | (168,385) | (88,000) | (62,450) |
| Financing Activities | |||
| Principal payments on long-term debt | (8,135) | (8,840) | (7,966) |
| Proceeds from related party note | - | 200,000 | - |
| Partner Distributions | - | - | (593) |
| Net Cash Provided (used) by Financing Activities | (8,135) | 191,160 | (8,559) |
| Net Increase (Decrease) in Cash and Cash Equivalents | 262,623 | 126,997 | (53 |
Source: Item 23 — RECEIPTS (FDD pages 53–204)
What This Means (2025 FDD)
According to Caring Senior Service's 2025 Franchise Disclosure Document, the net change in notes receivable during 2023 was $12,000. This figure is derived from the statement of cash flows, which tracks the movement of cash both into and out of the company. Notes receivable represent money owed to Caring Senior Service that is expected to be collected within a year.
The increase in notes receivable suggests that Caring Senior Service originated more notes than it collected during the year. For a prospective franchisee, this could mean that extending credit or financing to clients or other parties is a part of the Caring Senior Service business model.
Franchisees should inquire about the terms and conditions of these notes, the creditworthiness of the parties involved, and the procedures for managing and collecting these receivables. Understanding these aspects is crucial for assessing the financial health and cash flow management of a Caring Senior Service franchise.