What was the amount of purchases for Bb.Q Chicken in 2023, as detailed in Note 9?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
ER'S EQUITY | $ 27,803,633 | $ 17,774,509 |
Consolidated Statements of Income and Deficit December 31, 2023 and 2022
| REVENUE Franchise and license fee revenues (Note 3) Product sales (Note 13) Total Revenue | $ 2023 9,238,838 49,680,268 58,919,106 | $ (restated) 2022 6,391,130 37,360,763 43,751,893 |
|---|---|---|
| COST OF SALES | 5,216,192 | 2,439,700 |
| Inventories - beginning | 36,788,575 | 28,898,136 |
| Purchases (Note 8) | 3,536,677 | 3,719,998 |
| Duties & freight-in | 45,541,444 | 35,057,834 |
| Inventories - ending | (6,786,479) | (5,216,192) |
| Total Cost of Sales | 38,754,965 | 29,841,642 |
| GROSS PROFIT FROM SALES | 20,164,141 | 13,910,251 |
| OPERATING EXPENSES - Schedule | (20,127,682) | (14,199,829) |
| INCOME FROM OPERATION | 36,459 | (289,578) |
| OTHER INCOME & EXPENSES Interest income (interest expenses) Consulting income Gain on disposal of asset Miscellaneous Total Other Income & Expenses | (118,205) - - 214,437 96,232 | (97,110) 374,041 4,000 42,956 323,887 |
| INCOME BEFORE INCOME TAX BENEFIT | 132,691 | 34,309 |
| PROVISION FOR INCOME TAX (Note 2) | (24,803) | 60,239 |
| Net income attributable to controlling interest | 107,888 | 94,548 |
| Less: Net income attributable to noncontrolling interest | - | (49,387) |
| Net income attributable to controlling interes |
Source: Item 23 — RECEIPTS (FDD pages 62–283)
What This Means (2025 FDD)
According to Bb.Q Chicken's 2025 Franchise Disclosure Document, the purchases for 2023 are detailed in the provided financial statement. However, the specific amount related to Note 9 is not available in the provided excerpts. The excerpt does show that the purchases amount to $3,536,677 in 2023.
Without Note 9, it is difficult to determine what specifically this purchase amount refers to. It is important to understand what these purchases entail, as it will be a cost that the franchisee will need to account for.
A prospective franchisee should ask Bb.Q Chicken for clarification on what Note 9 entails and what the $3,536,677 in purchases refers to. This will help in understanding the costs associated with running the franchise.