What were the operating cash flows from operating leases for City Wide in 2024?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Operating lease cost | $ 1 14,922 | $ 1 14,922 | $ 114,922 |
| Operating cash flows from operating leases | 2 03,570 | 2 03,570 | 203,570 |
Source: Item 23 — RECEIPT (FDD pages 65–271)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the operating cash flows from operating leases in 2024 were $203,570. This figure represents the cash flow impact related to City Wide's operating leases for that year. Operating leases are agreements where City Wide uses an asset (like property or equipment) without owning it outright, and this cash flow reflects the payments made for those leases.
For a prospective franchisee, understanding this number provides insight into City Wide's financial obligations and how leasing impacts their overall cash flow. It's important to note that this figure reflects City Wide's corporate operations and not the individual franchise units. Franchisees will have their own lease obligations that will impact their unit's cash flow.
When evaluating the franchise opportunity, potential franchisees should consider how these corporate-level lease obligations might affect City Wide's financial stability and its ability to support franchisees. While $203,570 is the listed operating cash flow, it is important to consider this figure in the context of City Wide's overall financial performance to assess its significance.