What were the payroll taxes 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 | $ | 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 payroll taxes for the company in 2021 were $1,450. This figure is part of the operating expenses, which totaled $116,958 for that year. Understanding the historical payroll tax figures can help a prospective franchisee anticipate potential costs and manage their finances effectively. Note that in 2022, 2023, and 2024, the payroll taxes were $0, which may be an anomaly or due to a change in how payroll was handled.
The FDD also indicates that B-Bop's, Inc. (a common paymaster) paid salaries and payroll taxes for the Company. In 2021, the amount paid for salaries and payroll taxes by the common paymaster was $101,450. This resulted in a payable due to B-Bop's Inc. of $20,608 for the years ended December 31, 2022 and 2021. This suggests there may be some complexity in how payroll and related taxes are managed between B Bops and its related entities.
Prospective franchisees should investigate these figures further by asking B Bops about the reasons for the fluctuations in payroll taxes and the relationship with B-Bop's, Inc. Understanding these details will provide a clearer picture of the expected operating expenses and financial obligations.