How much net cash did Cicis use in investing activities in 2023?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
s | (2,889,567) | | Net income | 4,210,079 | | | | | Balance, December 31, 2024 | $ 2,423,224 |
Combined Statements of Cash Flows Years Ended December 31, 2024 and 2023
| 2024 | 2023 | |
|---|---|---|
| Cash flows from operating activities: | ||
| Net income | $ 4,210,079 | $ 5,859,705 |
| Adjustments to reconcile net income to net cash provided by | ||
| operating activities: | ||
| Amortization | 57,149 | 38,816 |
| Allowance for credit losses | 30,166 | - |
| Changes in operating assets and liabilities: | ||
| Trade receivables | 4,787 | (139,264) |
| Marketing fund, restricted | 142,369 | (981,151) |
| Related party receivable | (616,187) | 753,587 |
| Prepaid expenses and other current assets | (631,305) | 41,682 |
| Other receivables | 46,123 | (2,952) |
| Accounts payable | (413,045) | 305,641 |
| Accounts payable—marketing fund, restricted | 68,880 | 182,889 |
| Accrued expenses and other current liabilities | (115,228) | (754,380) |
| Deferred franchise fees | 99,444 | 233,291 |
| Related party payable | (596,796) | 427,267 |
| Marketing fund liabilities, restricted | (423,715) | 1,407,044 |
| Deferred initial beverage fund | (387,386) | (789,083) |
| Net cash provided by operating activities | 1,475,335 | 6,583,092 |
| Cash flows from investing activities: | ||
| Website | - | (120,000) |
| Net cash used in investing activities | - | (120,000) |
| Cash flows from financing activities: | ||
| Distributions to members | (2,889,567) | (8,300,000) |
| Net cash used in financing activities | (2,889,567) | (8,300,000) |
| Net decrease in cash, cash equivalents | ||
| and restri |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 58–64)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, in 2023, the company used $120,000 in net cash for investing activities. This investment was specifically allocated to website development.
For a prospective franchisee, this figure provides insight into how Cicis is allocating capital for long-term growth and infrastructure. Investing in website development suggests Cicis is focused on enhancing its online presence, which could benefit franchisees through improved online ordering systems, marketing capabilities, and customer engagement.
It's important to note that this investment is a specific use of cash and doesn't represent the entirety of Cicis's investment strategy. Franchisees may want to inquire about other potential capital expenditures or investments the company plans to make in the future to better understand the company's financial priorities and growth trajectory.