What was the cost to obtain contracts - commissions for Benjamin Franklin Plumbing as of December 31, 2023?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
ted to close during 2025. As of December 31, 2024 the software is classified as an asset held and used as the Company continues to use the software until a replacement system is fully implemented. The Company recognized an impairment loss totaling $14,775 and $3,000 on the consolidat
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the cost to obtain contracts - commissions as of December 31, 2023, was $10,729. This figure represents the expenses Benjamin Franklin Plumbing incurred in securing contracts, primarily through commissions paid.
For a prospective franchisee, understanding these costs is crucial. It provides insight into the financial investments Benjamin Franklin Plumbing makes to grow its franchise network. The cost to obtain contracts can be a key performance indicator, reflecting the effectiveness of the company's sales and marketing strategies.
It's important to note that this figure reflects costs incurred by the franchisor, not necessarily costs that a franchisee will incur directly. However, the franchisor's costs to obtain contracts may influence the fees and support structure offered to franchisees. Reviewing these figures in conjunction with franchise fees and ongoing support costs can provide a more complete financial picture for potential franchisees.