What was the ending cash balance for Counselor Realty in 2022?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
December 31, 2024, 2023 and 2022
| 2024 | 2023 | 2022 | ||
|---|---|---|---|---|
| Cash Flows From Operating Activities | ||||
| Net income (loss) | $ (3,967) | $ | (8,873) | $ 11,780 |
| Adjustments to reconcile net income (loss) to net cash | ||||
| flows from operating activities: | ||||
| Interest income earned on certificate of deposit | (977) | (280) | - | |
| Changes in operating assets and liabilities: | ||||
| Accounts receivable | 1,574 | 1,504 | (662) | |
| Due to franchise | 50 | - | - | |
| Due to parent company | - | - | (500) | |
| Net cash flows from operating activities | (3,320) | (7,649) | 10,618 | |
| Cash Flows From Investing Activities | ||||
| Purchase of certificates of deposit | (136,814) | (130,000) | - | |
| Redemption of certificates of deposit | 130,280 | - | - | |
| Net cash flows from investing activities | (6,534) | (130,000) | - | |
| Increase (decrease) in cash | (9,854) | (137,649) | 10,618 | |
| Cash, Beginning | 80,311 | 217,960 | 207,342 | |
| Cash, Ending | $ |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, the ending cash balance for the company in 2022 was $217,960. This figure represents the amount of cash Counselor Realty had on hand at the close of business on December 31, 2022, after all income and expenses were accounted for during that year. This cash balance is an important indicator of the company's financial health and its ability to meet its short-term obligations.
For a prospective franchisee, understanding the franchisor's cash position is crucial. A healthy cash balance suggests that Counselor Realty is financially stable and capable of supporting its franchisees. It can also indicate the company's ability to invest in new technologies, marketing initiatives, or other resources that could benefit the franchise system. Conversely, a low cash balance might raise concerns about the franchisor's ability to provide adequate support or navigate economic downturns.
It is important to note that while the ending cash balance provides a snapshot of Counselor Realty's financial position at a specific point in time, it does not tell the whole story. A prospective franchisee should also review the company's statements of operations and cash flows to get a more complete picture of its financial performance over time. Additionally, it's advisable to compare Counselor Realty's financial performance to that of other franchisors in the real estate industry to assess its relative strength and stability.