What was the net cash provided by operating activities for Cicis in 2024?
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, the net cash provided by operating activities in 2024 was $1,475,335. This indicates the amount of cash Cicis generated from its core business operations during that year. This figure is a key indicator of the company's financial health and its ability to fund future growth and investments.
For a prospective franchisee, understanding the net cash provided by operating activities is crucial. It reflects the financial stability of the franchisor, which can impact the support and resources available to franchisees. A higher net cash flow generally suggests a more stable and reliable franchisor.
It's also important to note that this figure can fluctuate year to year, as demonstrated by the fact that in 2023, Cicis had net cash provided by operating activities of $6,583,092. Reviewing trends over several years provides a more comprehensive understanding of the franchisor's financial performance.