table_specific

What was the reported commission expense for Bb.Q Chicken in 2023?

Bb_Q_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

ts, presentation, and disclosure accompanying consolidated financial statements.

Consolidated Schedule of Operation December 31, 2023 and 2022

Consolidated Schedule of Operation

2023 2022
OPERATING EXPENSES:
Advertising & marketing $ 1,595,920 $ 842,500
Auto & local transportation 55,921 49,906
Bad debt expenses 9,370 88,644
Bank charges & credit card discounts 196,556 176,111
Commission 424,518 370,079
Communications 73,870 38,199
Consulting fees 725,206 564,801
Contribution 150,279 71,000
Depreciation & amortization (Note 2) 368,402 233,324
Dues & subscriptions 261,806 183,954
Employee benefits 488,230 368,798
Freight costs 991,969 853,057
Insurance 231,502 256,419
Lease expenses 19,055 19,421
Licenses & permits 15,239 9,997
Management fees 16,599 32,297
Meals & entertainment 398,838 228,871
Office supplies & expenses 34,297 12,247
Outside service & temporary help - 30,991
Payroll processing fees 24,683 15,935
Payroll taxes 511,255 371,530
Penalty & interest 4,980 5,857
Professional fees 609,952 435,249
Rent 1,436,564 1,252,684
Repairs & maintenance 284,944 267,582
Research & development 19,460 16,703
Royalty expenses (Note 8) 3,351,968 2,393,571
Salaries 5,969,810 3,940,577
Sanitation 117,259 71,308
Security expenses 38,192 -

Source: Item 23 — RECEIPTS (FDD pages 62–283)

What This Means (2025 FDD)

According to Bb.Q Chicken's 2025 Franchise Disclosure Document, the commission expenses for 2023 were $424,518. This figure is part of the operating expenses reported in the document. For comparison, the commission expenses in 2022 were $370,079.

This information is relevant for prospective franchisees as it provides insight into the operational costs incurred by Bb.Q Chicken. Understanding the commission expenses can help potential franchisees assess the financial health and cost structure of the franchise system. It's important to note that these figures reflect the expenses of Bb.Q Chicken as a whole and may not directly translate to the expenses a franchisee will incur.

Reviewing these figures in the context of overall operating expenses and comparing them to previous years can give a sense of the trends and cost management within the Bb.Q Chicken franchise. Franchisees should consider these expenses when projecting their own potential costs and profitability. It is also important to investigate what these commissions are paid for, and if any of those services would be needed at the individual franchise level.

A prospective franchisee should also compare these commission expenses with those of other similar franchise systems to benchmark Bb.Q Chicken's financial performance. Further due diligence, including discussions with existing franchisees, is recommended to gain a comprehensive understanding of the financial aspects of operating a Bb.Q Chicken franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.