What were the members' distributions for Aw for the year ending December 31, 2024?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
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STATEMENTS OF OPERATIONS AND MEMBERS' EQUITY (DEFICIT) RAYYAN PIZZA FRANCHISE LLC
| YEARS ENDING DECEMBER 31 | |||||
|---|---|---|---|---|---|
| 2024 | 2023 | ||||
| Revenues | |||||
| Franchise fee revenue | $ | 8,000 | $ | 8,250 | |
| Royalties | 190,526 | 203,473 | |||
| Total Revenue | 198,526 | 211,723 | |||
| Operating Expenses | 39,530 | 75,326 | |||
| Net Income | 158,996 | 136,397 | |||
| Members' Equity (Deficit) - Beginning | 617 | 11,732 | |||
| Membe |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the members' distributions for the year ending December 31, 2024, were $(156,104). This means that Aw distributed $156,104 to its members during this period. Members' distributions represent the allocation of profits or capital from the company to its members, which decreases the company's equity.
For a prospective franchisee, this figure provides insight into how Aw manages its finances and distributes profits. A significant distribution could indicate strong profitability, but it's essential to consider the context. For example, consistent distributions might suggest a stable financial strategy, while fluctuating amounts could reflect varying business performance.
It's also worth noting that the members' distributions for the year ending December 31, 2023, were $(147,512). Comparing these figures, the distributions increased from 2023 to 2024. This information, combined with other financial data, helps potential franchisees assess the financial health and stability of Aw. Reviewing these trends over several years can offer a more comprehensive understanding of the company's financial practices.