What was the amount of paid-in capital for Craters & Freighters as of January 1, 2022?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
37,747 | 36.4 % |
Statements of Shareholder's Equity
| Number of | Amount | Paid-in | Retained | Shareholder's | |
|---|---|---|---|---|---|
| Shares | Capital | Earnings | Equity |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, the paid-in capital as of January 1, 2022, was $800. This figure is part of the company's shareholder's equity, reflecting the initial investment made by shareholders. The total shareholder's equity at that time was $2,923,399, which includes both the paid-in capital and retained earnings of $2,922,499.
Paid-in capital represents the funds Craters & Freighters received from its shareholders in exchange for stock. It's a key component of the company's equity structure and indicates the capital base upon which the business operates. For prospective franchisees, understanding the franchisor's financial structure, including paid-in capital, can provide insights into the company's financial stability and how it's funded.
The FDD also shows that Craters & Freighters had 1,000,000 shares authorized and outstanding as of January 1, 2022. The common stock had no par value, and was valued at $100. Reviewing these figures in the context of the company's overall financial statements can help potential franchisees assess the financial health and capitalization of Craters & Freighters.