What was the gross revenue for Beauty Bungalows from January 1, 2024 to December 31, 2024?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
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Part I - Company-Owned Outlet #1 (15 Suites | ~3,000 sqft.)1
| January 1, 2024 to December 31, 2024 | |
|---|---|
| GROSS REVENUE2 | $293,768 |
| Key Operating Expenses | |
| Advertising | $412 |
| Cleaning Supplies | $609 |
| Insurance | $735 |
| Janitorial | $7,280 |
| Legal/ licenses | $284 |
| Manager3 | $0 |
| Rent/NNN/CAMS Expense | $146,654 |
| Repairs & Maintenance | $7,920 |
| Utilities | $11,429 |
| Bank Fees | $238 |
| Total Key Operating Expenses | $175,561 |
| Estimated Franchise Operating Expenses4 | |
| Royalty Fees (5.5%) | $16,157 |
| Brand Fund Contribution (1%) | $2,938 |
| Technology Fee | $1,800 |
| Total Franchise Expenses | $20,895 |
| EBITDA (if franchised)5 | $97,312 |
| EBITDA (if franchised) Margin6 | 33% |
| Suite Profiles8 |
|---|
| Total Suites: 15 |
| Suite Size Range: 111 - |
| 185 sq |
| ft. |
| Suite Rent |
| Range: $350 - |
| $490 |
| per week |
Notes to Part I:
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- Company Owned Outlet #1 Company-Owned Outlet #1 operates in Huntington Beach, California and has been open since March 2017. It is comprised of 15 individual suites of varying sizes. We estimate that your Beauty Bungalows Franchise location will typically be between 5,500 to 8,000 square feet and will contain 25-40 individual suites of varying sizes.
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- Gross Revenue "Gross Revenue" means all amounts collected from suite rental income generated at Company-Owned Outlet #1 during each Measurement Period. Gross Revenue does not include any revenue collected in the form of taxes collected and then paid to applicable government agencies.
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- Manager Compensation Company-Owned Outlet #1 was owner-operated and did not employ a dedicated Manager.
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- Estimated Franchise Operating Expenses Company-Owned Outlet #1 did not pay us Royalty Fees, Brand Fund Contributions, or Technology Fees during the Measurement Periods. We have included a Royalty Fee, a Brand Fund Contribution, and a Technology Fee in the tables above as if Company-Owned Outlet #1 had paid these fees as required by the Franchise Agreement attached to this disclosure document. We did not include an adjustment for the required local advertising amount because we do not require you to spend a minimum amount once a location is rented at or above 75% capacity.
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- EBITDA (if franchised) – "EBITDA (if franchised)" does not include expenses related to taxes, interest on debt, depreciation, or amortization costs. The numbers included in this figure are equal to the Gross Revenue, minus the Total Key Operating Expenses and Estimated Franchise Operating Expenses, for each Measurement Period.
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Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 40–45)
What This Means (2025 FDD)
According to Beauty Bungalows's 2025 Franchise Disclosure Document, Item 19 details the financial performance of three company-owned outlets during the period from January 1, 2024, to December 31, 2024. This includes the gross revenue generated by each outlet, along with associated operating costs and estimated fees. The gross revenue figures represent the amounts collected from suite rental income, excluding taxes collected and remitted to government agencies. These figures are based on historical data from the company-owned locations.
Specifically, Company-Owned Outlet #1 reported a gross revenue of $293,768 during this period. This outlet, located in Huntington Beach, California, has been operating since March 2017 and consists of 15 individual suites. Company-Owned Outlet #2, also in Huntington Beach and operating since April 2022 with 27 suites, generated a gross revenue of $334,405. Company-Owned Outlet #3, located in Clovis, California, and open since March 2023 with 29 suites, had a gross revenue of $534,966.
It is important to note that these figures are based on company-owned outlets and may not be representative of the performance of a franchised location. Beauty Bungalows estimates that a typical franchise location will be between 5,500 and 8,000 square feet and contain 25 to 40 individual suites. Prospective franchisees should also be aware that these gross revenue figures do not reflect all costs and expenses that must be deducted to determine net income or profit. Beauty Bungalows recommends that prospective franchisees conduct an independent investigation of these costs and expenses.
Furthermore, the FDD emphasizes that Beauty Bungalows does not make any other financial performance representations beyond what is included in Item 19. Any additional financial information or projections received should be reported to the franchisor's management, the Federal Trade Commission, and appropriate state regulatory agencies. This ensures that prospective franchisees are relying on verified and substantiated information when making their investment decisions.