What was the amount of restricted cash held by Caring Transitions at the end of 2022?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
that we identified during the audit.
Clark, Schaefer, Hackett & Co.
Cincinnati, Ohio March 24, 2025
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Assets | |||
| Current assets: | |||
| Cash | $ 2,075,001 | 949,879 | 979,239 |
| Restricted cash | 239,784 | 170,591 | 115,694 |
| Accounts receivable | 706,468 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, the amount of restricted cash held by Caring Transitions at the end of 2022 was $115,694. This figure is part of the company's assets and reflects cash that is designated for a specific purpose and not available for general use.
Restricted cash can arise from various requirements, such as security deposits, escrow accounts, or legal reserves. For a potential Caring Transitions franchisee, understanding the nature and purpose of these restricted funds is important. It provides insight into the company's financial obligations and how it manages its cash flow.
Reviewing the balance sheets for 2023 and 2024, we can see that the restricted cash balance increased to $170,591 in 2023 and further to $239,784 in 2024. This trend may indicate changes in the company's operational needs or regulatory requirements over these years. Prospective franchisees should inquire about the reasons for these changes to better assess the financial health and stability of Caring Transitions.