What was the net cash provided by operating activities for Focus Cfo in 2023?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
Contributions | 83,404 | 85,545 | 74,980 | | Distributions | (919,714) | (1,339,352) | (740,138) | | Balance as of end of period | $ 723,721 | $ 324,472 | $ 741,099 |
CONSOLIDATED STATEMENTS OF CASH FLOWS
Years Ending December 31, 2024, 2023 and 2022
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES | |||
| Net income | $ 1,235,559 | $ 837,180 | $ 990.076 |
| Adjustments to reconcile net income to net cash provided by operating activities | 4 1,200,000 | $ 007,100 | $ 000,070 |
| Depreciation and amortization | 10,395 | 7,796 | 1,667 |
| Changes in assets and liabilities: | • | , | |
| Decrease (increase) in accounts receivables | 21,701 | (9,392) | 56,245 |
| Decrease (increase) in other current assets | (42,342) | (35,739) | (24,311) |
| Decrease (increase) in other long term assets | 19,280 | 12,580 | |
| (Decrease) increase in accounts payable | 24,255 | (27,804) | 23,846 |
| Increase in accrued compensation | 121,379 | 265,620 | 35,457 |
| (Decrease) increase in other current liabilities | 91,265 | 2,179 | 20,017 |
| (Decrease) increase in other long term liabilities | 191,431 | 105,432 | - |
| Net cash provided by operating activities | 1,672,923 | 1,157,852 | 1,102,997 |
| CASH FLOWS FROM INVESTING ACTIVITIES | |||
| Purchase of assets | (18,522) | (34,769) | |
| Net cash used by investing activities | (18,522) | (34,769) | |
| CASH FLOWS FROM FINANCING ACTIVITIES | |||
| Members' contributions | 83,404 | 85,545 | 74,980 |
| Members' distributions | (919,714) | (1,339,352) | (740,138) |
| Net cash used by financing activities | (836,310) | (1,253,807) | (665,158) |
| Net change in cash and cash equivalents | 836,613 | (114,477) | 40 |
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to Focus Cfo's 2025 Franchise Disclosure Document, the net cash provided by operating activities in 2023 was $1,157,852. This figure represents the cash flow generated from the company's core business operations during that year. It's a key indicator of Focus Cfo's ability to fund its operations, make investments, and meet its debt obligations.
For a prospective franchisee, understanding the net cash provided by operating activities is crucial. It provides insight into the financial health and stability of Focus Cfo. A positive and growing net cash flow from operations suggests that the company is generating sufficient cash from its business activities to sustain and expand its operations. This can be a reassuring factor for franchisees considering investing in the Focus Cfo system.
However, it's important to consider this figure in the context of other financial metrics and industry benchmarks. While $1,157,852 indicates positive cash generation, potential franchisees should also review the company's revenue, expenses, and overall profitability to gain a comprehensive understanding of its financial performance. Additionally, comparing this figure to previous years and to similar companies in the industry can provide valuable insights into Focus Cfo's competitive position and growth potential.