What were Cinch I.T.'s trade payables in 2021?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
| CINCH FRANCE | HISE, LLC | |||
|---|---|---|---|---|
| BALANCE S | ||||
| DECEMBER 31, 20 | 22 AND 2021 | |||
| $15-50-50MS(7M-4-5 | 40.000 | |||
| ASSET | S | 2022 | 2021 | |
| CURRENT ASSETS | - | |||
| Cash | S | 189.038 | S | 101,234 |
| Receivables: | ||||
| Trade | 54,720 | 112,709 | ||
| Employee Retention Credit | 7 | 32.487 | ||
| Prepaid expenses | 14.494 | 14,697 | ||
| TOTAL CURRENT ASSETS | S _ | 258,252 | S | 261.127 |
| LIABILITIES AND MEMBER | R'S EQUITY (DEFIC | Tr) | ||
| CURRENT LIABILITIES | 21194 | 16 | 43.594 | |
| Payables - trade | S- | 5,155 | 5 | 26,973 |
| Accrued liabilities | 16,534 | 19,451 | ||
| Current portion of deferred revenue | 55,500 | 102,200 | ||
| Due to related parties | 150 | 42,550 | - | 112,866 |
| TOTAL CURRENT LIABILITIES | 100 | 119,739 | 261,490 |
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 trade payables in 2021 were $26,973. This figure represents the amount Cinch I.T. owed to its suppliers and vendors for goods and services received but not yet paid for as of the end of that fiscal year. Trade payables are a key component of a company's current liabilities, reflecting its short-term obligations.
For a prospective Cinch I.T. franchisee, understanding the franchisor's trade payable trends can offer insights into the company's financial management and its relationships with suppliers. A significant increase in trade payables could indicate that the company is facing financial challenges or is strategically managing its cash flow. Conversely, a decrease might suggest improved financial health or a change in payment practices.
It's important to note that trade payables are a normal part of business operations, and the specific amount can vary depending on factors such as the company's size, industry, and payment terms with its suppliers. Franchisees should consider these figures in the context of Cinch I.T.'s overall financial performance and industry benchmarks to gain a comprehensive understanding of the company's financial position. Reviewing these figures over several years, if available, can provide a more complete picture of the company's financial trends.