What was the net income for B Bops at December 31, 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 | $ | 41,878 |
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 at December 31, 2021, was $41,878. This figure represents the company's profit after deducting all operating expenses, such as professional fees ($14,989), salaries ($100,000), payroll taxes ($1,450), and bank charges ($519), from the total operating revenue of $155,330, and accounting for other income, including interest income of $3,506.
For a prospective B Bops franchisee, understanding the franchisor's net income can provide insights into the financial health and stability of the company. A positive net income generally indicates that the company is profitable and has the potential to support its franchisees. However, it is essential to consider this figure in conjunction with other financial metrics and qualitative factors, such as the company's growth rate, debt levels, and competitive landscape.
It's also important to note that B Bops Franchising Corp. had its 2021 financial statements audited by other auditors, who expressed an unmodified opinion on those statements. This means that the auditors found the financial statements to be presented fairly in all material respects, in accordance with accounting principles. The current auditors have reviewed the comparative information for 2021 and found it consistent with the audited financial statements. This adds a level of assurance to the accuracy and reliability of the financial information presented.