What was the amount of distributions for Beggars Pizza in 2022?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2023 | 2022 | ||
|---|---|---|---|
| Net sales - royalties and other revenues | $ 1,593,982 | $ 1,520,563 | |
| Operating expenses: | |||
| Management fees | 579,820 | 666,106 | |
| Professional fees | 60,884 | 113,460 | |
| Brand development | 95,897 | - | |
| Trade show | 9,729 | - | |
| Donations | 30,000 | 25,000 | |
| Training | 10,920 | 9,820 | |
| Miscellaneous | 6,452 | 956 | |
| Total operating expenses | 793,702 | 815,342 | |
| Net income | $ 800,280 | $ 705,221 | |
| Members' equity - beginning of year | $ 201,534 | $ 232,400 | |
| Net income | 800,280 | 705,221 | |
| Distributions | (638,217) | (736,087) | |
| Members' equity - end of year | $ 363,597 | $ 201,534 |
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, the distributions for the company in 2022 were $(736,087). This figure represents the amount of money distributed to members or owners of the company during that year.
For a prospective franchisee, understanding the distributions can provide insight into the financial management and profitability of Beggars Pizza. It shows how much of the net income is being returned to the members versus being reinvested in the business. A consistent distribution history might suggest financial stability, but it's important to consider this in conjunction with other financial metrics.
It is also important to note that the distributions are listed as a negative number, which is standard accounting practice to denote an outflow of cash. Reviewing these figures over several years, as presented in the FDD, can help potential franchisees identify trends and assess the financial health and distribution policies of Beggars Pizza.