What was the members' equity at the end of the year 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 members' equity at the end of 2022 was $201,534. The document also provides figures for members' equity at the beginning of the year, net income, and distributions, which all factor into the calculation of the year-end equity.
Specifically, the members' equity at the beginning of 2022 was $232,400. During the year, Beggars Pizza had a net income of $705,221 and distributions of $(736,087). These values are used to calculate the members' equity at the end of the year.
Understanding the changes in members' equity can be valuable for prospective franchisees. It provides insight into how Beggars Pizza manages its finances, generates profits, and distributes earnings. Reviewing these figures over multiple years, as presented in the FDD, can reveal trends and inform investment decisions.