What was the lease expense for Aunt Millies Bakeries in 2023?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
| HIS ADVERTISING AGREEMENT | C (this " | Agreen | nent") is |
|---|---|---|---|
| made effective, 20 | , by | and | between |
| PERFECTION BAKERIES, INC., d/b | /a AUN] | MIL | LIE'S an |
| Indiana business corporation with its prin | ncipal of | ice at 3 | 350 Pearl |
| Street, Fort Wayne, Indiana 46802 (herein referred to as "A | AUNT M | ILLIE | 'S") and |
| [DISTRIBUTOR'S CORPORATE NAME], a | busii | ess co | rporation |
| with its principal office at [DISTRIBUTOR'S ADDRES | S], (here | n refei | rred to as |
| LESSOR"). |
In consideration of the mutual promises contained herein the parties agree as follows:
- DELIVERY VEHICLE ADVERTISING AGREEMENT: LESSOR agrees to rent to AUNT MILLIE'S for the limited purposes of advertising AUNT MILLIE'S Products, the outside painted surfaces of the primary delivery vehicle utilized by LESSOR in the operation of its business. AUNT MILLIE'S agrees, in consideration of this rental, to provide and pay for the cost of applying advertising decals or materials to said vehicle, and to further pay as and for a space rental fee, the sum of $60/week.
Source: Item 23 — RECEIPT (FDD pages 44–196)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, it is not possible to determine the lease expenses for Aunt Millies Bakeries in 2023. The provided excerpts from the FDD do mention some rental agreements. Specifically, Aunt Millie's enters into agreements to rent advertising space on delivery vehicles and clothing worn by personnel, paying $60 per week for each. There is also a computer equipment use agreement where distributors pay $30 per week, plus sales and use tax, for the use of computer equipment. However, these are not traditional lease expenses for real estate or facilities.
These agreements outline specific obligations for both Aunt Millies Bakeries and the lessor (vehicle owner, clothing provider, etc.). Aunt Millies Bakeries is responsible for the advertising content and expenses related to placing or removing advertising materials. The lessor is responsible for maintaining the vehicle or clothing in good condition, consistent with Aunt Millies Bakeries' image. For the computer equipment, the distributor is responsible for using the equipment exclusively for Aunt Millies Bakeries' business and carrying insurance on the equipment, while Aunt Millies Bakeries is responsible for maintenance.
To determine the actual lease expenses incurred by Aunt Millies Bakeries for properties or facilities in 2023, a prospective franchisee should review the complete financial statements within the FDD, specifically looking for line items related to rent or lease payments. If this information is not present, the prospective franchisee should directly ask the franchisor for detailed information on lease expenses, including the types of properties leased and the total amounts paid in 2023. This information is crucial for understanding the overall cost structure of operating an Aunt Millies Bakeries franchise.