What was the change in line of credit for Gold Star in 2024?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
,208) | 51,027 | 953,524 | | Non-Controlling Interest in GSC Properties, LLC | 8,457,889 | 7,531,345 | 6,674,814 | | Accumulated Other Comprehensive Income | 113,503 | 77,216 | 226,662 | | Total Non-Controlling Interest in | | | | | GSC Properties, LLC | 8,571,392 | 7,608,561 | 6,901,476 | | Total Stockholders' Equity | 8,442,184 | 7,659,588 | 7,855,000 | | Total Liabilities and Stockholders' Equity | 34,551,579 | 33,559,654 | 31,213,387 | | $ | | $ | $ |
GOLD STAR CHILI, INC. CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
| - | - | - | - | - |
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GOLD STAR CHILI, INC. CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
| | - | - | - | - | - | - | | |---|---|---|---|---|---|---|---|
GOLD STAR CHILI, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS
| Years Ended December 31, | |||
|---|---|---|---|
| 2024 2023 | (Restated) | ||
| Cash Flows From Operating Activities | |||
| Net Income | $ 2,498,270 $ 1,595,317 | $ 1,936,301 | |
| Reconciliation of Net Income with | |||
| Cash Flows From Operations | |||
| Depreciation | 1,249,072 930,216 | 807,295 | |
| Amortization | 63,323 | 70,168 69,297 | |
| Amortization on Loan Cost | 1 3,492 4 1,695 | 1 2,973 | |
| Loss on Disposal of Property and Equipment | - 4 4,694 | 5,367 | |
| Gain on Early Termination of Lease | - (26,298) | - | |
| Changes In | |||
| Accounts Receivable, Net | 206,833 292,502 | 524,429 | |
| Other Receivables | (589) 229,976 | (67,494) | |
| Inventory | 4 83,139 (354,258) | (479,542) | |
| Prepaid Expenses | 272,464 227,946 | (269,624) | |
| Contract Assets | - 3 6,849 | 1 14,057 | |
| Deposits | 1 43,766 1 0,156 | (239,834) | |
| Right of Use Asset - Operating Leases | 9 75,114 8 81,258 | 6 10,647 | |
| Operating Lease Liabilities | (790,746) (765,735) | (517,628) | |
| Bank Overdraft | - (432,410) | 4 32,410 | |
| Accounts Payable Operating | (755,131) 1,041,601 | (409,194) | |
| Gift Card Liability | 6,158 2,909 | 6,744 | |
| Deferred Franchise Fees | (17,826) (26,558) | (14,609) | |
| Accrued Wages and Other Liabilities | 2 61,526 2 6,786 | (3,854) | |
| Accrued Expenses and Other Liabilities | (205,784) 4 0,485 | (125,691) | |
| Cas |
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, there was a change in the line of credit in 2024. The line of credit increased by $1,112,437. The line of credit was $1,681,630 in 2022, $92,581 in 2023, and $100,008 in 2024.
This indicates that Gold Star utilized more of its available credit in 2024 compared to 2023, but significantly less than in 2022. This could be due to various factors such as increased investment in capital expenditures, changes in operational costs, or strategic financial decisions.
A prospective franchisee should inquire about the reasons for these fluctuations and understand Gold Star's financial strategy regarding its lines of credit. Understanding the company's debt management and financial health is crucial for assessing the stability and potential risks associated with investing in a Gold Star franchise.