What was the income from operations for Craters & Freighters for the year ended December 31, 2022?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
| 5,413,239 | $ 5,414,139 |
Statements of Cash Flows
| Years Ended December 31, | 2023 | 2022 | |----------------------------------------------------------------------|-----------------------|-------------| | Change in Cash and Cash Equivalents: | | | | Cash Flows from Operating Activities: | | | | Net Income | $ 2,633,230 $ | 2,437,747 | | | | | | Adjustments to Reconcile Net Income to Net Cash and Cash Equivalents | | | | From Operating Income: | | | | Amortization Expense | 101,989 | 99,763 | | Depreciation Expense | 26,134 | 21,995 | | Gain on Sale of Fixed Assets | (15,729) | - | | Gain on Sale of Marketable Securities | (841) | (3,643) | | Bad Debt Expense | 10,000 | 24,928 | | Non-Cash Lease Expense | 1,865 | 83,132 | | Unrealized Holding (Gain) Loss on Marketable Securities | (97,174) | 69,301 | | Reinvested Dividends | (13,827) | (13,279) | | (Increase) Decrease in Assets: | | | | Accounts Receivable | 138,330 | (159,098) | | Prepaid Expenses and Deposits | (166,615) | 462 | | (Decrease) Increase in Liabilities: | | | | Accounts Payable | (179,894) | 225,116 | | Accrued Bonus | (132,340) | 132,340 | | Accrued Liabilities and Payables | 1,332 | (3,152) | | Operating Lease Liability Change | - | (70,918) | | Net Cash Flows from Operating Activities | 2,306,460 | 2,844,694 | | Cash Flows from Investing Activities: | | | | Investment in Software Development | (113,648) | (106,716) | | Proceeds from Sale of Investments | 77,025 | 77,160 | | Purchase of Investments | (71,427) | (71,880) | | Due from Related Party | (163,077) | (16,876) | | Note Receivable | (100,000) | (60,000) | | Purchase of Property and Equipment | (89,688) | - | | Net Cash Flows from Investing Activities | (460,815) | (178,312) | | | | | | Cash Flows from Financing Activities: | | | | Distributions to Shareholder | - | (4,945,919) | | Due to Shareholder | 2,769,688 | - | | Net Cash Flows from Financing Activities | 2,769,688 | (4,945,919) | | | | | | Net Increase (Decrease) in Cash and Cash Equivalents | 4,615,333 | (2,279,537) | | Cash and Cash Equivalents at Beginning of Year | 2,376,316 | 4,655,853 | | Cash and Cash Equivalents at End of Year | $ 6,991,649 $ | 2,376,316 |
**Note 1: Summary of S
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
I am unable to provide the income from operations for Craters & Freighters for the year ended December 31, 2022, based on the 2025 Franchise Disclosure Document excerpts provided. While the excerpts include audited financial statements and statements of cash flow for the years ended December 31, 2023 and 2022, the specific 'income from operations' figure is not clearly stated.
The excerpts do contain the net income for the year ended December 31, 2022, which was $2,437,747. Additionally, the document contains various expense items such as amortization expense ($99,763), depreciation expense ($21,995), and bad debt expense ($24,928) for 2022, which are related to operating activities. However, without a consolidated 'income from operations' figure, it is impossible to determine this value.
A prospective Craters & Freighters franchisee should directly request the 'income from operations' figure from the franchisor for the year ended December 31, 2022. Understanding this figure is crucial for assessing the financial performance and profitability of Craters & Freighters.