What was the capital balance for City Wide as of December 31, 2022?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
| Class A | Class B | Capital | Earnings | Income (Loss) | Total | |
|---|---|---|---|---|---|---|
| Balance January 1, 2022 | $ 2,100 | $ 210,000 | $ 366,366 | $ 15,459,388 | $ (5,506) | $ 1 6,032,348 |
| Net income | - | - | - | 10,941,550 | - | 1 0,941,550 |
| Other comprehensive income | - | - | - | - | 26,999 | 26,999 |
| Distributions | - | - | - | ( 8,431,640) | - | (8,431,640) |
| Balance December 31, 2022 | 2,100 | 210,000 | 366,366 | 17,969,298 | 21,493 | 1 8,569,257 |
Source: Item 23 — RECEIPT (FDD pages 65–271)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the capital balance as of December 31, 2022, was $366,366. This figure represents the company's capital at the end of the year. This number is derived from the receipts outlined in Item 23 of the FDD. The receipts also include the capital balance from January 1, 2022, net income, other comprehensive income, and distributions.
For a prospective franchisee, understanding the capital balance can provide insight into the financial stability and overall financial management of City Wide. A healthy capital balance suggests that the company has sufficient resources to support its operations and growth. Reviewing these figures over several years, as presented in the table, can reveal trends and patterns in the company's financial performance.
It is important to note that this capital balance is just one aspect of the company's financial health. Prospective franchisees should also consider other factors such as revenue, expenses, and liabilities when evaluating the franchise opportunity. Consulting with a financial advisor can help potential franchisees interpret these financial statements and make informed decisions.