What was the cash and cash equivalents at the end of year for Crawlspace Medic in 2022?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
,112 | $ | 460,495 | $ 147,585 |
STATEMENTS OF CASH FLOWS CSM FRANCHISE GROUP, LLC
| 2022 | 2021 | 2020 | |
|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | $ 808,447 | $ 954,060 | $ 218,669 |
| Net income | |||
| Changes in operating assets and liabilities: | |||
| (Increase) decrease in franchisee fees receivable | 280,000 | (275,000) | (5,000) |
| (Increase) decrease in royalty fees receivable | 9,972 | 3,918 | (9,590) |
| (Increase) decrease in due from related parties | 9,599 | (9,599) | - |
| (Increase) decrease in prepaid expense | 6,918 | (12,168) | - |
| Increase (decrease) in accounts payable and | |||
| accrued expenses | (11,088) | 22,144 | 630 |
| Decrease in due to related party | (1,444) | (20,676) | - |
| NET CASH PROVIDED BY OPERATING ACTIVITIES | 1,102,404 | 662,679 | 204,709 |
| CASH FLOWS FROM FINANCING ACTIVITIES | |||
| Payment on related party financing | - | (21,460) | (53,629) |
| Members' withdrawals | (1,052,830) | (641,150) | (22,222) |
| NET CASH USED IN FINANCING ACTIVITIES | (1,052,830) | (662,610) | (75,851) |
| NET CHANGE IN CASH AND CASH EQUIVALENTS | 49,574 | 69 | 128,858 |
| Cash and cash equivalents at beginning o |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, the cash and cash equivalents at the end of 2022 were $222,873. This indicates the amount of liquid assets Crawlspace Medic had readily available to meet its short-term obligations and fund its operations at the close of that year. A higher cash balance generally reflects a stronger financial position.
For a prospective franchisee, this figure provides insight into the financial health and stability of Crawlspace Medic as a franchisor. It suggests the company's ability to support its franchisees and invest in the growth of the franchise system. A healthy cash reserve can be crucial for funding marketing initiatives, developing new technologies, or providing assistance to franchisees facing challenges.
It's also useful to compare this figure with previous years to identify trends. In 2021, Crawlspace Medic had cash and cash equivalents of $173,299. The increase to $222,873 in 2022 suggests positive financial performance. Reviewing these figures over several years helps potential franchisees assess the franchisor's financial management and growth trajectory, offering a more comprehensive view of the company's financial stability.