Cash Flow

v3.21.1
Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($)
3 Months Ended
Mar. 31, 2021
Mar. 31, 2020
Cash flows from operating activities:    
Net income $ 2,314,287 $ 814,947
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 1,169,866 654,249
Net loss on disposition or impairment (non-cash portion) 99,022 1,193
Net franchise fees recognized upon termination of franchise agreements (69,702) (14,862)
Deferred income taxes (418,810) (34,406)
Stock based compensation expense 246,494 250,392
Changes in operating assets and liabilities:    
Accounts receivable (442,008) 809,563
Prepaid expenses and other current assets (384,377) (18,073)
Deferred franchise costs (204,112) (104,483)
Deposits and other assets (3,313) (4,378)
Accounts payable (443,463) (80,682)
Accrued expenses 60,493 205,601
Payroll liabilities (217,020) (1,727,021)
Deferred revenue 329,383 339,523
Other liabilities 234,708 380,259
Net cash provided by operating activities 2,271,448 1,471,822
Cash flows from investing activities:    
Purchase of property and equipment (951,641) (1,261,213)
Reacquisition and termination of regional developer rights (1,388,700) 0
Payments received on notes receivable 0 39,720
Net cash used in investing activities (2,340,341) (1,221,493)
Cash flows from financing activities:    
Payments of finance lease obligation (18,238) (7,214)
Purchases of treasury stock under employee stock plans (618,154) (3,774)
Proceeds from exercise of stock options 620,776 140,899
Proceeds from the Credit Agreement, net of related fees 0 1,947,352
Repayment of debt under the Paycheck Protection Program (2,727,970) 0
Net cash (used in) provided by financing activities (2,743,586) 2,077,263
(Decrease) increase in cash, cash equivalents and restricted cash (2,812,479) 2,327,592
Cash, cash equivalents and restricted cash, beginning of period 20,819,629 8,641,877
Cash, cash equivalents and restricted cash, end of period 18,007,150 10,969,469
Reconciliation of cash, cash equivalents and restricted cash:    
Cash and cash equivalents and restricted cash 18,007,150 10,969,469
Income taxes 0 0
Cash paid for interest $ 35,533 $ 0

Source