What were the total costs and expenses for 360 Painting in 2023?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
eferred revenue, noncurrent | 12,809,637 | 10,901,598 | | Total liabilities | 40,685,068 | 31,458,933 | | Members' deficit | (5,185,319) | (3,701,440) | | Total liabilities and members' deficit | 35,499,749 | $ 27,757,493 | | $ | | |
Premium Service Brands, LLC Consolidated Statements of Operations For the Years Ended December 31, 2023 and 2022
| 2023 | 2022 | |
|---|---|---|
| Revenues | ||
| Franchise service fees | $ 17,385,428 $ | 15,264,829 |
| Franchise sales fees | 4,940,724 | 5,651,579 |
| Other revenues | 1,266,744 | 1,028,652 |
| Total revenues | 23,592,896 | 21,945,060 |
| Costs and expenses | ||
| Franchise support expenses | 9,990,315 | 8,680,470 |
| Franchise sales expenses | 5,579,325 | 5,573,085 |
| General and administrative expenses | 4,444,841 | 3,697,732 |
| Tran |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, the total costs and expenses for the company in 2023 amounted to $21,789,095. These costs encompass various operational aspects of the franchise system. Understanding these figures is crucial for prospective franchisees as it provides insight into the financial health and operational efficiency of 360 Painting.
Specifically, the costs and expenses are broken down into several categories. Franchise support expenses totaled $9,990,315, covering the resources and assistance provided to franchisees. Franchise sales expenses were $5,579,325, reflecting the costs associated with expanding the franchise network. General and administrative expenses amounted to $4,444,841, covering the overhead and management costs of the company. Transaction costs were $103,047, and depreciation and amortization accounted for $1,671,567.
These figures are essential for potential franchisees to consider as they evaluate the profitability and sustainability of a 360 Painting franchise. By comparing these expenses to the total revenues, one can assess the operating income and net income of the company. In 2023, 360 Painting had an operating income of $1,803,801 but a net loss of $733,879, indicating that interest expenses significantly impacted the bottom line. Reviewing these financial statements helps prospective franchisees understand the cost structure and potential financial performance of the franchise system.