What was the net income for B Bops in 2021?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
2021
| _ | 2024 | 2023 | 2022 | 2021 | ||||
|---|---|---|---|---|---|---|---|---|
| Operating Revenue | ||||||||
| Royalties | 1 | 171,308 | _ | 153,244 | 168,937 | _ | 155,330 | |
| Total Operating Revenue | , $ | 171,308 | $ | 153,244 | $ | 168,937 | $ | 155,330 |
| Operating Expenses | ||||||||
| Professional Fees | $ | 22,283 | $ | 20,398 | $ | 20,472 | $ | 14,989 |
| Salaries | - | 100,000 | ||||||
| Payroll taxes | - | - | - | 1,450 | ||||
| Bank Charges | 572 | 502 | 504 | 519 | ||||
| Total Operating Expenses | $ | 22,855 | $ | 20,900 | $ | 20,976 | $ | 116,958 |
| Income From Operations | $ | 148,453 | $ | 132,344 | $ | 147,961 | $ | 38,372 |
| Other Income | ||||||||
| Interest Income | $ | 20,000 | $ | 9,599 | $ | 3,144 | $ | 3,506 |
| Total Other Income | $ | 20,000 | $ | 9,599 | $ | 3,144 | $ | 3,506 |
| Net Income | $ | 168,453 | $ | 141,943 | $ | 151,105 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 52–53)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, the net income for the company in 2021 was $41,878. This figure represents the profit B Bops Franchising Corporation retained after deducting all operating expenses, salaries, payroll taxes, and bank charges from the total operating revenue and other income, such as interest income.
For a prospective franchisee, understanding the franchisor's net income can provide insight into the financial health and stability of the company. A positive net income suggests that the company is operating profitably, which can be a reassuring factor when considering investing in a franchise. However, it's essential to consider this figure in conjunction with other financial metrics and qualitative factors, such as the number of operating franchises and the overall growth trajectory of the brand.
It's also important to note that the financial statements include comparative data for previous years (2023, 2022 and 2021) to provide a basis for comparison with 2024. This allows potential franchisees to assess the company's financial performance over time and identify any trends or fluctuations in profitability. Reviewing these historical figures can offer a more comprehensive understanding of the franchisor's financial stability and growth potential.
While the net income figure provides a snapshot of profitability, prospective franchisees should also pay close attention to the notes accompanying the financial statements. These notes provide additional context and disclosures about the company's accounting policies, related party transactions, and other factors that could impact its financial performance. For example, Note 2 details related party transactions, including a receivable from the sole shareholder, which could affect the company's cash flow and financial position.