What was the total amount of operating expenses for Beggars Pizza in 2023?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
de evaluation of events up through and including March 22, 2024, which is the date the financial statements were available to be issued.
2. Related Party Transactions
The Company has a management fee agreement with Begcom, LLC, a related party through common ownership. The agreement expires on December 31, 2028. Management fees totaled $579,820 and $666,106 for the years ended December 31, 2023 and 2022, respectiv
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)
What This Means (2025 FDD)
Based on the 2025 Beggars Pizza Franchise Disclosure Document, a precise figure for the total operating expenses in 2023 is not explicitly provided. However, the document does mention management fees paid to Begcom, LLC, a related party, which could be considered an operating expense. These fees totaled $579,820 for the year ended December 31, 2023. It is important to note that this figure likely does not represent the entirety of Beggars Pizza's operating expenses.
To gain a comprehensive understanding of Beggars Pizza's operating expenses, a prospective franchisee should carefully review the company's complete financial statements, which would include a detailed breakdown of all expenses incurred during the year. This would include costs such as salaries, rent, marketing, and other administrative expenses. Understanding these costs is crucial for developing an accurate financial model and assessing the potential profitability of a Beggars Pizza franchise.
Therefore, while the FDD provides some insight into specific expenses like management fees, it does not offer a complete picture of the total operating expenses. A potential franchisee should request a full expense report from Beggars Pizza to conduct thorough due diligence.