What was the interest income earned on the certificate of deposit for Counselor Realty in 2023?
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 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 32)
What This Means (2025 FDD)
According to Counselor Realty's 2025 Franchise Disclosure Document, the interest income earned on the certificate of deposit in 2023 was ($280). This figure is part of the adjustments made to reconcile net income (loss) to net cash flows from operating activities.
This means that Counselor Realty earned $280 in interest from its certificates of deposit, but this amount is presented as a negative number in the cash flow statement. This is because the interest income increases the net income, but it is not a cash inflow from operating activities. Instead, it is related to investing activities.
For a prospective franchisee, this detail provides insight into Counselor Realty's financial management and how it handles its cash and investments. While the amount itself is relatively small, it demonstrates that the company is generating some income from its cash reserves. It's important to consider this information in the context of the overall financial health and performance of the company.