What was the net change in cash for Gold Star in 2022?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
| Gold Star Chili, Inc. | GSC Properties, LLC | TCWW, LLC | Eliminations | Total | |||||
|---|---|---|---|---|---|---|---|---|---|
| Net Change in Cash | 269,087 | (10,532) | 113,759 | - | 372,314 |
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the consolidated statement of cash flows shows the net change in cash for the year ended December 31, 2022. The net change in cash was $372,314. This indicates the overall increase in cash holdings across Gold Star Chili, Inc., GSC Properties, LLC, and TCWW, LLC, after accounting for all operating, investing, and financing activities.
Specifically, Gold Star Chili, Inc. experienced a net change in cash of $269,087, while GSC Properties, LLC had a decrease of $10,532. TCWW, LLC, saw an increase of $113,759 in its cash position. These individual changes, when combined, result in the total net change in cash of $372,314 for the consolidated entity.
For a prospective franchisee, understanding the cash flow dynamics of Gold Star is crucial. A positive net change in cash suggests that the company is generating sufficient cash from its activities to cover its expenses and investments. This can be a sign of financial health and stability, which is an important consideration when evaluating a franchise opportunity. However, it's also important to analyze the individual components of the cash flow statement to understand the sources and uses of cash, as this can provide a more detailed picture of the company's financial performance.