What was the value of City Wide's inventory in 2022?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
have not been subjected to the auditing procedures applied in the audit of the consolidated financial statements and accordingly, we do not express an opinion or provide any assurance on it.
Kansas City, Missouri March 20, 2025
City Wide Franchise Company, Inc. & Subsidiaries Consolidated Balance Sheets December 31, 2024, 2023, and 2022
| 2024 | 2023 | 2022 | ||
|---|---|---|---|---|
| ASSETS | ||||
| Current Assets | ||||
| Cash and cash equivalents | $ 24,273,328 | $ | 17,836,030 | $ 20,166,393 |
| Accounts receivable, net of allowance | ||||
| 2024 - $132,811, 2023 - $0, 2022 - $0 | 5,389,631 | 4,711,498 | 4,120,583 | |
| Notes receivable, current maturities | 97,482 | 143,061 | 337,830 | |
| Deferred franchise costs, current portion | 159,494 | 150,281 | 146,607 | |
| Prepaid expenses | 968,181 | 644,999 | 628,582 | |
| Inventory | 16,768 | 75,493 | 75,418 | |
| Total current assets | 30,904,884 | 23,561,362 | 25,475,413 | |
| Property and Equipment, net | 1,390,853 | 2,018,516 | 3,081,584 | |
| Right-of-Use Asset - Operating Leases, net | 604,257 | 698,572 | 789,931 | |
| Other Assets | ||||
| Notes receivable, less current maturities | 4,133,296 | 4,133,296 | 4,158,686 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the value of City Wide's inventory in 2022 was $75,418. This figure is part of the consolidated balance sheet, reflecting the total value of goods and materials that City Wide held for sale or use in its operations during that year.
For a prospective franchisee, understanding the inventory value can provide insights into the operational aspects of City Wide's business model. While City Wide is primarily a management company that coordinates commercial cleaning and maintenance services, this inventory likely includes supplies or materials used in supporting franchisees or in the company's own operations. The relatively low inventory value suggests that City Wide does not rely heavily on physical products as a primary revenue source, which aligns with its service-based franchise model.
It's important to note that inventory values can fluctuate year to year based on various factors, including changes in supply chain costs, demand, and company strategies. Reviewing the trend in inventory values over several years, as presented in the FDD, can offer a more comprehensive understanding of how City Wide manages its resources and adapts to market conditions. This information, combined with other financial metrics, helps potential franchisees assess the financial health and operational efficiency of the franchise system.