What was the ending cash balance for Eos Worldwide at the end of 2024?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
tribution | $ (3,000,000) - (715,000) | $ 3,788,511 1,346,431 | $ 788,511 1,346,431 (715,000) | | Balance, December 31, 2023 | (3,715,000) | 5,134,942 | 1,419,942 | | Net income | | 2,722,563 | 2,722,563 | | Balance, December 31, 2024 | $ (3,715,000) | $ 7,857,505 | $ 4,142,505 |
Statements of Cash Flows Years Ended December 31, 2024 and 2023
| 2024 | 2023 | ||
|---|---|---|---|
| Cash flows from operating activities: | |||
| Net income | $ | 2,722,563 | $ 1,346,431 |
| Adjustments to reconcile net income to net cash (used in) | |||
| provided by operating activities: | |||
| Increase in assets: | |||
| Due from affiliates | (3,274,179) | (1,016,647) | |
| (Decrease) increase in liabilities: | |||
| Deferred revenue | (475,793) | 926,157 | |
| Net cash (used in) provided by operating activities | _ | (1,027,409) | 1,255,941 |
| Cash flows from financing activities: | |||
| Member distrib |
Source: Item 22 — CONTRACTS (FDD page 74)
What This Means (2025 FDD)
According to Eos Worldwide's 2025 Franchise Disclosure Document, the ending cash balance at the end of 2024 was $233,339. The document also provides the ending cash balance for the end of 2023, which was $1,260,748. This shows a decrease in cash from 2023 to 2024.
It is important to note that Eos Worldwide places its cash and cash equivalents with one financial institution, and at times, these amounts may exceed the FDIC insured limit. However, the company states that it has never experienced any losses related to these balances and believes it is not exposed to any significant credit risk on cash.
The FDD includes a statement of cash flows, which details the movement of cash both into and out of the company. Reviewing this statement can provide insight into how Eos Worldwide manages its cash and where the cash is being used. For example, in 2024, the net cash used in operating activities was ($1,027,409). This information, along with the auditor's report, can help potential franchisees assess the financial health and stability of Eos Worldwide.