How much did Cicis' amortization expenses amount to in 2023?

According to Cicis' 2025 Franchise Disclosure Document, the amortization expenses for 2023 amounted to $38,816. This figure is part of the adjustments made to reconcile net income to net cash provided by operating activities. Amortization is the gradual expensing of an asset's cost over its useful life.

For a prospective Cicis franchisee, understanding amortization is crucial for assessing the true profitability and cash flow of the business. While net income provides a snapshot of profitability, it doesn't always reflect the actual cash generated by the business. Amortization is a non-cash expense, meaning it reduces net income without affecting cash flow. Therefore, adding it back to net income provides a more accurate picture of the cash available for reinvestment, debt repayment, or distribution to owners.

Franchisees should pay close attention to these non-cash adjustments when reviewing Cicis' financial statements, as they can significantly impact the overall financial health of the franchise. Comparing amortization expenses across different years can also provide insights into Cicis' investment in long-term assets and its accounting practices. Reviewing these figures can help a franchisee project future earnings and cash flow more accurately.