What was the net increase or decrease in cash for Creative World School in 2024?
Creative_World_School Franchise · 2025 FDDAnswer from 2025 FDD Document
uthorized, issued and | | | | | outstanding | 7,425 | 7,425 | 7,425 | | Additional paid-in capital | 60,456 | 60,456 | 60,456 | | Retained earnings | 1,272,073 | 908,731 | 1,312,666 | | TOTAL STOCKHOLDERS' EQUITY | 1,340,029 $ 2,406,340 | 9 76,687 $ 1,747,319 | 1,380,622 |#### STATEMENTS OF CASH FLOWS
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | $ 616,858 | $ 772,173 | $ 587,688 |
| Net income | |||
| Adjustments to reconcile net income to net | |||
| cash provided by operating activities: | 13,192 | 9,525 | 48,026 |
| Depreciation and amortization | |||
| Amortization of operating lease | |||
| right-of-use assets | 98,443 | 81,013 | 80,000 |
| Increase in royalties | |||
| receivable - unaffiliated | (9,743) | (34,767) | (10,768) |
| (Increase) decrease in royalties | |||
| receivable - affiliated Net decrease in due from/to related parties | (9,177) 69,797 | 7,483 37,478 | 38,749 51,791 |
| (Increase) decrease in other current assets | (36,488) | 2,669 | (35,726) |
| Increase (decrease) in accounts payable | (4,882) | 17,428 | (45,718) |
| Increase (decrease) in accrued expenses | 181,226 | (65,944) | (153,614) |
| Increase in deferred franchise | |||
| fees and deposits Decrease in operating lease liabilities NET CASH PROVIDED BY | 108,502 (96,109) | 203,986 (81,013) | 31,014 (80,000) |
| OPERATING ACTIVITIES | 931,619 | 950,031 | 511,442 |
| CASH FLOWS FROM INVESTING ACTIVITIES | (10,400) | - | (14,664) |
| Purchase of property and equipment | |||
| NET CA |
Source: Item 23 — RECEIPTS (FDD pages 80–247)
What This Means (2025 FDD)
According to Creative World School's 2025 Franchise Disclosure Document, the net cash provided by operating activities in 2024 was $931,619. This figure reflects the cash generated from the company's core business operations, including revenues from franchise fees and royalties, minus operating expenses. It's a key indicator of the company's financial health and its ability to fund ongoing operations and future growth.
In addition to cash from operating activities, Creative World School experienced cash flows from investing activities. Specifically, the purchase of property and equipment resulted in a net cash use of $10,400 in 2024. This indicates investments in fixed assets that are intended to support the company's operations and expansion.
Therefore, when considering both operating and investing activities, the overall net increase in cash for Creative World School in 2024 can be calculated by subtracting the cash used in investing activities ($10,400) from the cash provided by operating activities ($931,619). This results in a net increase in cash of $921,219 for the year. This comprehensive view of cash flow provides a more accurate picture of the company's financial performance and its ability to manage its resources effectively.