What was the noncash operating lease cost for City Wide in 2022?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
| - | | - | - | | 39,507 | 39,507 | | Distributions | | | | | | | (16,582,517) | | | (16,582,517) | | Balance December 31, 2024 | $ | 2,100 | $ | 210,000 | $ | 366,366 | $ 13,031,512 | $ | 54,347 | $ 13,664,325 |
City Wide Franchise Company, Inc. & Subsidiaries Consolidated Statements of Cash Flows Years Ended December 31, 2024, 2023, and 2022
| 2024 | 2023 | 2022 |
|---|
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the noncash operating lease cost for 2022 was $88,451. This figure represents the portion of City Wide's operating lease expenses that did not involve an actual cash outlay during that year.
Noncash operating lease costs typically include items such as the amortization of right-of-use assets or changes in lease liabilities that do not require a direct cash payment. For a prospective franchisee, understanding this noncash expense is important for a comprehensive view of City Wide's financial performance.
Reviewing the noncash operating lease costs alongside other financial statement items provides a more accurate picture of the company's profitability and cash flow dynamics. This information is particularly useful when assessing the overall financial health and stability of City Wide as a franchise opportunity.