What was the beginning cash, cash equivalents and restricted cash for Cicis in 2023?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2023 | 2022 | ||
|---|---|---|---|
| Cash flows from operating activities: | |||
| Net income | $ 5,859,705 | $ 9,407,023 | |
| Adjustments to reconcile net income to net cash | |||
| provided by operating activities: | |||
| Amortization | 13,149 | 13,149 | |
| Changes in operating assets and liabilities: | |||
| Trade receivables | 186,610 | (73,448) | |
| Marketing fund, restricted | (1,307,025) | 1,045,443 | |
| Related party receivable | 753,587 | (502,090) | |
| Prepaid expenses and other current assets | 41,682 | 532,467 | |
| Other receivables | (2,952) | 226,453 | |
| Accounts payable | 305,641 | 90,785 | |
| Accounts payable—marketing fund, restricted | 182,889 | (636,450) | |
| Accrued expenses and other current liabilities | (754,380) | 668,395 | |
| Deferred franchise fees | 233,291 | 325,663 | |
| Related party payable | 427,267 | (49,523) | |
| Marketing fund liabilities, restricted | 1,407,044 | (2,623,924) | |
| Other noncurrent liabilities | (789,083) | (775,153) | |
| Net cash provided by operating activities | 6,557,425 | 7,648,790 | |
| Cash flows from investing activities: | |||
| Website in development | (94,333) | (100,000) | |
| Net cash used in investing activities | (94,333) | (100,000) | |
| Cash flows from financing activities: | |||
| Distributions to members | (8,300,000) | (7,277,500) | |
| Net cash used in financing activities | (8,300,000) | (7,277,500) | |
| Net (decrease) increase in cash, cash equivalents | |||
| and restricted cash | (1,836,908) | 271,290 | |
| Cash, cash equivalents and restricted cash: | |||
| Beginning of year | 5,540,074 | 5,268,784 | |
| End of year | $ 3,703,166 | $ 5,540,074 |
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the beginning cash, cash equivalents, and restricted cash for 2023 was $5,540,074. This figure represents the total amount of readily available funds Cicis had at the start of the 2023 fiscal year, including cash on hand, money in the bank, and any cash set aside for specific purposes that might have restrictions on its use.
Understanding the beginning cash position is crucial for assessing Cicis's financial health and liquidity. It provides a baseline for evaluating how well Cicis managed its cash flow throughout the year. Franchisees can use this information to gauge the company's ability to meet its short-term obligations and invest in growth opportunities. A healthy beginning cash balance suggests financial stability, which can be reassuring for prospective franchisees.
It's important to note that this figure is just one piece of the financial puzzle. A comprehensive analysis would also consider Cicis's cash flow from operations, investing, and financing activities, as well as its overall balance sheet and income statement. Reviewing these financial statements in their entirety will provide a more complete picture of Cicis's financial performance and stability.