What is the meaning of 'reporting Beehive Homes' in the context of Item 19?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
nces.
In 2022, 25% (26) of the reporting BeeHive Homes franchises reported annual revenues of at least $950,000; and 48% (50) of the reporting BeeHive Homes franchises reported annual revenues of at least $700,000.
In 2023, 26% (28) of the reporting BeeHive Homes franchises reported annual revenues of at least $950,000; and 63% (67) of the reporting BeeHive Homes franchises reported annual revenues of at least $700,000.
The foregoing represents actual performance of the reportingBeeHive Homes, but makes no representation regarding the non-reporting BeeHive Homes. There is no assurance that the performance of the not-reporting BeeHive Homes will be the same of similar to the performance
of the reporting BeeHive Homes. Some franchises have sold this amount. There is no assurance you'll do as well. If you rely upon our figures, you must accept the risk of not doing as well.
Bases
These revenue figures are derived from the actual historical performance of BeeHive Homes franchises across various locations in the United States. These revenue figures were reported for the calendar years 2022 and 2023.
At December 31, 2022 there were 198 BeeHive Homes franchises in the BeeHive Homes system. We solicited revenue numbers from each of these franchise Homes and received responses from 104 franchisees. Of the 104 responses, 26 owners reported revenues of $950,000 or more, which is 25% of the responding BeeHive Homes franchises. Of the 104 responses, the average reported revenues were $741,000, with a high of $1,843,000 and a low of $174,000.
At December 31, 2023 there were 198 BeeHive Homes franchises in the BeeHive Homes system. We solicited revenue numbers from each of these franchise Homes and received responses from 106 franchisees. Of the 106 responses, 28 owners reported revenues of$950,000 or more, which is 26% of the responding BeeHive Homes franchises. Of the 106 responses, the average reported revenues were $843,000, with a high of $1,941,000 and a low of $216,000.
Assumptions
Our data measured BeeHive Homes franchisees' revenues based on the 104 responding franchises for 2022 and the 106 responding franchises for 2023. The location at which your BeeHive Homes franchise will be, however, may be in a smaller or larger urban or suburban area. Accordingly, the results achieved by the reporting franchises may not be typical for those in your proposed area. Further, each of the franchises reporting revenue data has been in business for at least two years.
A new franchisee's individual financial results may differ from the results stated in this financial performance representation.
Written substantiation for these financial performance representations will be made available to the prospective franchisee upon reasonabl
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 27–28)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, the term 'reporting Beehive Homes' in Item 19 refers to the Beehive Homes franchises that provided their revenue figures to the franchisor. This information is used to compile the financial performance representations in Item 19. Not all franchisees respond with their revenue information, so the data represents only a portion of the total Beehive Homes franchise system. Specifically, for the 2022 data, 104 out of 198 franchisees responded, and for 2023, 106 out of 198 franchisees responded. These figures form the basis for the franchisor's claims about revenue performance.
The FDD emphasizes that the financial performance of the 'reporting Beehive Homes' may not be representative of all Beehive Homes franchises. The document explicitly states that there is no assurance that the performance of non-reporting Beehive Homes will be the same or similar to those that did report. This is a crucial point for potential franchisees to consider, as their individual financial results may differ significantly from the reported averages. The location of a franchise, whether in a smaller or larger urban area, can also influence financial outcomes, making the results achieved by reporting franchises potentially atypical for a new location.
Prospective franchisees should understand that while the reported revenue figures offer some insight into potential earnings, they are not guarantees. Beehive Homes encourages potential franchisees to recognize the risk of not performing as well as the reported figures suggest. The FDD also mentions that written substantiation for these financial performance representations will be made available to prospective franchisees upon reasonable request, which is a valuable resource for further investigation. Therefore, it is essential for anyone considering a Beehive Homes franchise to conduct thorough due diligence, considering various factors such as location, market conditions, and their own business capabilities, in addition to reviewing the financial performance data provided.