What were Cinch I.T.'s cash assets in 2022?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
| CINCH FRANCHISE LLX BALANCE SHEETS | ||||
|---|---|---|---|---|
| DECEMBER 31, 2023 AND 2 | 022 | |||
| ASSETS | ||||
| CHIRDCHET ADDITIO | 2023 | 2022 | ||
| CURRENT ASSETS Cash | S | 220,489 | S | 189,038 |
| Receivables - trade | 3 | 65,722 | 3 | 54,720 |
| Prepaid expenses | 03,142 | 14,494 | ||
| TOTAL CURRENT ASSETS | s | 286,211 | 8 | 258,252 |
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
According to Cinch I.T.'s 2024 Franchise Disclosure Document, the company's cash assets totaled $189,038 in 2022. This figure represents the amount of cash Cinch I.T. had readily available at the end of the 2022 fiscal year. Cash includes all cash balances and highly liquid investments with an initial maturity of three months or less.
For a prospective franchisee, understanding the franchisor's cash position can be an indicator of financial stability. A healthy cash balance suggests that Cinch I.T. has sufficient liquidity to meet its short-term obligations and invest in growth opportunities. However, it is essential to consider this figure in conjunction with other financial metrics and industry benchmarks to gain a comprehensive understanding of the company's financial health.
It's also important to note that these figures are based on financial statements prepared according to generally accepted accounting principles (GAAP), which require management to make estimates and assumptions. Actual results could differ from those estimates. Therefore, a prospective franchisee should consult with a financial advisor to review the complete financial statements and assess the risks and opportunities associated with investing in a Cinch I.T. franchise.