What was the total amount of initial franchise fees received by Beauty Bungalows in 2023?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |
|---|---|---|
| Deferred revenue - beginning of year | $ 214,600 | $ - |
| Additions for initial franchise fees received | 489,400 | 214,600 |
| Revenue recognized during the year | (46,800) | - |
| Deferred revenues - end of year | $ 657,200 | $ 214,600 |
Source: Item 23 — RECEIPTS (FDD pages 48–177)
What This Means (2025 FDD)
According to Beauty Bungalows' 2025 Franchise Disclosure Document, the total amount of initial franchise fees received in 2023 was $214,600. This figure represents the 'Additions for initial franchise fees received' during that year.
This information is relevant for prospective franchisees as it provides insight into the franchisor's revenue from initial franchise fees. It shows the scale of franchise sales activity during that period. A higher number could indicate a growing franchise system, while a lower number might suggest slower growth or other factors affecting franchise sales.
It's important to note that this is just one aspect of Beauty Bungalows' financial performance. A prospective franchisee should also consider other factors, such as ongoing royalties, marketing fees, and the overall financial health of the franchise system, to get a comprehensive understanding of the investment opportunity.