As of December 31, 2024, what was the net income for franchised Beggars Pizza restaurants?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | ||
|---|---|---|---|
| Net sales - royalties and other revenues | $ 1,501,659 | $ 1,593,982 | |
| Operating expenses: | |||
| Management fees | 720,955 | 579,820 | |
| Professional fees | 75,691 | 60,884 | |
| Brand development | 30,403 | 95,897 | |
| Trade show | - | 9,729 | |
| Donations | 30,000 | 30,000 | |
| Training | 10,400 | 10,920 | |
| Miscellaneous | 12,550 | 6,452 | |
| Total operating expenses | 879,999 | 793,702 | |
| Net income | $ 621,660 | $ 800,280 |
Source: Item 23 — RECEIPT (FDD pages 39–192)
What This Means (2025 FDD)
According to Beggars Pizza's 2025 Franchise Disclosure Document, the net income for franchised restaurants as of December 31, 2024, was $621,660. This figure represents the net income specifically from royalties and other revenues.
It's important to note that this net income figure is calculated after deducting total operating expenses, which amounted to $879,999 in 2024. These operating expenses include management fees of $720,955, professional fees of $75,691, brand development costs of $30,403, donations of $30,000, training expenses of $10,400, and miscellaneous expenses of $12,550.
For a prospective Beggars Pizza franchisee, understanding these figures is crucial for assessing the financial performance of the franchise system. Comparing the net income to the operating expenses provides insight into the profitability of the franchisor's operations. Additionally, examining the specific categories of operating expenses can help franchisees anticipate potential costs and manage their own business finances effectively.