What was the amount of cash Zoomin Groomin received due from affiliates in 2024?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
-----| | Member Contributions | - | | Member Distributions | - | | Net Income (Loss) | (482,370) | | Equity at December 31, 2022 | $ (693,256) | | Equity at January 1, 2023 | $ (693,256) | | Member Contributions | - | | Member Distributions | - | | Net Income (Loss) | (1,117,726) | | Equity at December 31, 2023 | $ (1,810,982) | | Equity at January 1, 2024 | $ (1,810,982) | | Member Contributions | - | | Member Distributions | - | | Net Income (Loss) | (1,825,281) | | Equity at December 31, 2024 | $ (3,636,263) |
Statements of Cash Flows For The Three Years Ended December 31, 2024
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Cash Flows From Operating Activities: | |||
| Net Income (Loss) | $ (1,825,281) | $ (1,117,726) | $ (482,370) |
| Adjustments to Reconcile Net Loss to Net | |||
| Cash Provided by Operating Activities: | |||
| Depreciation & Amortization | 6,000 | 6,000 | 6,000 |
| Changes in Assets and Liabilities | |||
| (Increase) Decrease in Inventory | 7,308 | 76,872 | 128,467 |
| (Increase) Decrease in Accounts Receivable | (173,640) | (51,110) | (91,766) |
| (Increase) Decrease in Prepaid Expenses | 8 | (1,510) | (28) |
| Increase (Decrease) in Accounts Payable | (71,077) | 81,530 | 44 |
| Increase (Decrease) in Unearned Revenue | 60,000 | 40,000 | - |
| Increase (Decrease) in Deferred Revenue | 4,334,346 | 3,366,736 | 1,050,392 |
| Net Cash Provided by Operating Activities | 2,337,664 | 2,400,792 | 610,739 |
| Cash Flows From Investing Activities: | |||
| Due To Affiliates | (45,000) | (126,504) | (351,756) |
| Due From Affiliates | (2,389,938) | (2,253,123) | (176,000) |
| Purchase of Assets | - | - | - |
| Notes Receivable Assets | 57,126 | 85,323 | (93,898) |
| Ne |
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the net cash flow related to amounts due from affiliates in 2024 was a negative $2,389,938. This indicates that Zoomin Groomin spent $2,389,938 related to amounts due from affiliates.
This figure is part of the broader "Cash Flows From Investing Activities" section of the financial statements. It is important to note that this value reflects the net change in what is due from affiliates, not necessarily the total amount of transactions with affiliates during the year.
Prospective franchisees should understand the relationship between Zoomin Groomin and its affiliates, and how these transactions might impact the financial health of the company. Reviewing the complete financial statements and notes, and consulting with a financial advisor, is essential to assess the implications of these affiliate transactions.