What was the total amount of advertising and marketing expenses for Afuri Ramen Dumpling?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
vices and for initial franchise fees collected but recognized over the course of the agreement.
Advertising – The Company expenses advertising costs as they are incurr
Source: Item 23 — Receipts (FDD pages 50–189)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, the company's advertising expenses totaled $12,130 at December 31, 2021, and $15,183 at December 31, 2020. This indicates the total advertising expenses for those specific years.
It is important to note that these figures represent the advertising expenses incurred by Afuri Ramen Dumpling itself, and not necessarily the advertising fees collected from franchisees. Franchisees are required to pay an advertising fee of 1% of their total revenue each month, which contributes to the overall advertising and marketing efforts of the Afuri Ramen Dumpling system. However, the FDD does not specify the total amount of advertising fees collected from franchisees.
A prospective franchisee should inquire about the total advertising budget, how advertising fees are used, and the marketing strategies employed by Afuri Ramen Dumpling to support its franchisees. Understanding the allocation of advertising funds and the effectiveness of marketing campaigns is crucial for making an informed investment decision.