What was the amount of proceeds from sales of available-for-sale securities reinvested by Exit franchisees in the year ending December 31, 2022?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
| Cash paid during the year for: | |||
|---|---|---|---|
| Cash paid during the year for interest | $ 49,502 | $ 74,777 | $ 90,746 |
| Deferred rent reclassified as operating lease | |||
| --- | --- | --- | --- |
| right-of-use assets | $ - | $ - | $ 69,213 |
| Leasehold improvement allowances reclassified as | |||
| --- | --- | --- | --- |
| operating lease right-of-use asset | $ - | $ - | $ 189,111 |
| Operating lease liability arising from recognition of | |||
| --- | --- | --- | --- |
| right-of-use asset | $ - | $ - | $ 428,236 |
| Unrealized holding gains (losses) on investments included | |||
| --- | --- | --- | --- |
| in accumulated other comprehensive income (loss) | $ 5,568 | $ 7,017 | $ (9,239) |
| Accounts receivable applied to notes payable | $ - | $ - | $ 10,100 |
| Acquisition of franchise territory right renewals financed | |||
| --- | --- | --- | --- |
| with notes payable | $ - | $ 287,044 | $ - |
| Reduction of franchise fees arising from restructuring | |||
| of related notes payable | $ - | $ 1,275,185 | $ - |
| Proceeds from sales of available-for-sale securities | |||
| --- | --- | --- | --- |
| reinvested | $ 1,307 | $ 1,380 | $ - |
| Reclassification adjustment for net losses included in | |||
| net losses | $ - | $ 425 | $ - |
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, proceeds from sales of available-for-sale securities reinvested during the year ending December 31, 2022, amounted to $0. This indicates that Exit franchisees did not reinvest any proceeds from the sale of available-for-sale securities during that specific year.
This information is relevant for prospective franchisees as it provides insight into the financial activities and investment behaviors within the Exit franchise system. While no reinvestment occurred in 2022, it's important to note that in the years ending December 31, 2024 and 2023, franchisees reinvested $1,307 and $1,380 respectively.
Understanding these trends can help potential franchisees assess the financial strategies and opportunities available within the Exit network. It is advisable for prospective franchisees to inquire about the types of available-for-sale securities, the reasons for any fluctuations in reinvestment amounts across different years, and the overall investment philosophy encouraged by Exit.