What was the total amount All Team spent on operating expenses in 2022?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
| 832,933 | 647,362 | |
|---|---|---|
| TOTAL LIABILITIES & STOCKHOLDER'S EQUITY | $ 3,492,701 | $ 4,141,911 |
ALL TEAM FRANCHISE CORPORATION STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022
| 2023 | 2022 | |
|---|---|---|
| OPERATING REVENUES | ||
| Royalty and license fees - franchise | $ 423,870 | $ 661,052 |
| Funding and processing fees - franchise | 606,672 | 802,969 |
| Total Operating Revenues | 1,030,542 | 1,464,021 |
| OPERATING EXPENSES | ||
| Advertising - franchise | 446 | 1,186 |
| Accounting services | 20,281 | 18,370 |
| Auto expense | 30,168 | 29,327 |
| Bank and credit card fees | 668 | 654 |
| Charitable contributions | 1,122 | 100 |
| Computer/ IT | 63,258 | 55,597 |
| Dues and subscriptions | 7,317 | 5,182 |
| Professional services | 189,877 | 53,040 |
| Insurance | 28,025 | 38,303 |
| Funding fees | 98,019 | 258,432 |
| Wages, salaries and payroll benefits | 813,640 | 976,331 |
| Rent | 66,751 | 63,738 |
| Office supplies and expense | 15,351 | 11,220 |
| Postage and delivery | 713 | 2,527 |
| Equipment lease | 15,708 | 16,250 |
| Telephone and utilities | 12,609 | 17,975 |
| Licenses, permits and taxes | 242 | 1,717 |
| Miscellaneous | 1,850 | 233 |
| Travel and entertainment | 22,408 | 3,333 |
| Total Operating Expenses | 1,388,453 | 1,553,515 |
| LOSS FROM OPERATIONS | (357,911) | (89,494) |
| OTHER INCOME (EXPENSES) | ||
| Provision for credit losses | (6,000) | (6,000) |
| Interest inco |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 33)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, the total operating expenses for the year 2022 were $1,553,515. These expenses encompass various aspects of running the franchise operations, including advertising, accounting services, auto expenses, bank and credit card fees, charitable contributions, computer/IT, dues and subscriptions, professional services, insurance, funding fees, wages, salaries and payroll benefits, rent, office supplies and expense, postage and delivery, equipment lease, telephone and utilities, licenses, permits and taxes, miscellaneous, and travel and entertainment.
Understanding the breakdown of these operating expenses is crucial for potential franchisees. For instance, wages, salaries, and payroll benefits constituted a significant portion of the operating expenses in 2022, amounting to $976,331. Funding fees were also a notable expense at $258,432. Other substantial expenses included rent at $63,738, and computer/IT expenses at $55,597. These figures provide insight into where All Team allocates its resources to maintain and grow its franchise system.
Prospective franchisees should carefully consider these expenses when evaluating the financial viability of an All Team franchise. While the FDD provides historical data, future expenses may vary based on factors such as location, economic conditions, and the franchisee's management capabilities. It is advisable to conduct thorough due diligence, including consulting with existing franchisees and financial advisors, to develop realistic financial projections and assess the potential profitability of an All Team franchise.