What was the amount of the distribution to the Guarantor for Benjamin Franklin Plumbing in 2023?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
expenses | 1,848 | 3,817 | | 4,409 | | | Depreciation and amortization | 65,562 | 63,526 | | 30,882 | | | Impairment loss | 17,775 | - | | - | | | Total costs and expenses | 241,110 | 211,120 | | 154,393 | | | Operating (loss) income | (14,674) | 7,947 | | 36,380 | | | Interest income | 329 | 269 | | 197 | | | Interest expense, net | (17) | (36) | | (12) | | | Net (loss) income | $ (14,362) $ | 8,180 | $ | 36,565 | |
AB Assetco LLC and Subsidiaries Consolidated Statements of Changes in Member's Equity Years Ended December 31, 2024, 2023 and 2022 (In thousands)
| Total | ||
|---|---|---|
| Member's Equity | ||
| Balances at December 31, 2021 | $ | 688,857 |
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the distribution to the Guarantor in 2023 was $68,651. This represents a portion of the funds distributed to the guarantor during that fiscal year.
It is important for a prospective franchisee to understand the context of these distributions. Distributions to the guarantor could represent a return on investment, dividends, or other forms of compensation. Understanding the reasons behind these distributions can provide insight into the financial structure and obligations of the Benjamin Franklin Plumbing franchise system.
Reviewing the complete financial statements and understanding the relationship between the franchisor and guarantor is crucial. A potential franchisee should seek clarification from Benjamin Franklin Plumbing regarding the nature of these distributions and their potential impact on the financial stability of the franchise.