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What was the net income for Bens Soft Pretzels in 2024?

Bens_Soft_Pretzels Franchise · 2025 FDD

Answer from 2025 FDD Document

ETZELS FRANCHISING CORPORATION STATEMENTS OF INCOME AND RETAINED EARNINGS

For the Years Ended December 31, 2024, 2023, and 2022

2024 2023 } 2022 }
Amount % Amount % Amount %
Revenues
Initial franchise fee revenue $ 120,792 7.32 $ 147,358 9.74 $ 128,065 10.25
Royalty fee revenue 1,202,010 72.79 1,064,701 70.39 877,461 70.26
Advertising fund revenue 243,430 14.74 232,493 15.37 190,874 15.28
Other income 84,978 5.15 68,006 4.50 52,606 4.21
Net sales 1,651,210 100.00 1,512,558 100.00 1,249,006 100.00
Operating expenses 1,333,609 80.77 1,236,732 81.76 927,960 74.30
Income from operations 317,601 19.23 275,826 18.24 321,046 25.70
Other income (expense)
ERC grant income - - - - 6,027 0.48
Interest income 4,641 0.28 2,124 0.14 17 -
Interest expense (16,409) (0.99) (14,720) (0.97) (1,405) (0.11)
Gain on sale of asset 33,000 2.00
Total other income (expense) 21,232 1.29 (12,596) (0.83) 4,639 0.37
Income before income taxes 338,833 20.52 263,230 17.41 325,685 26.07
State taxes (573) (0.03) (463) (0.03) (210) (0.02)
NET INCOME 338,260 20.49 262,767 17.38 325,475 26.05
Retained earnings, beginning 928,302 787,113 517,522
D

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 46)

What This Means (2025 FDD)

According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, the company's net income for the year 2024 was $338,260. The FDD also provides net income figures for the preceding years, with $262,767 in 2023 and $325,475 in 2022. This information is derived from the Statements of Income and Retained Earnings included in the financial statements. These figures are audited, providing a degree of confidence in their accuracy.

Analyzing the net income alongside other financial data, such as revenue and expenses, can offer a more comprehensive understanding of Bens Soft Pretzels's financial health. For instance, in 2024, the net sales were $1,651,210 and operating expenses were $1,333,609, resulting in an income from operations of $317,601. Other income and expenses, including interest and gains on asset sales, further contributed to the final net income figure. A prospective franchisee should review these figures to understand the franchisor's profitability and how it has trended over the past three years.

It's important for potential franchisees to understand that the franchisor's financial performance does not directly guarantee the success of an individual franchise. Factors such as location, local market conditions, and the franchisee's management skills will significantly impact the profitability of their own Bens Soft Pretzels location. However, a financially stable franchisor is more likely to provide better support and resources to its franchisees, which can indirectly contribute to their success. Therefore, reviewing the franchisor's financial statements is a crucial step in the due diligence process.

Furthermore, the FDD includes additional financial statements such as balance sheets and statements of cash flows, which provide a more detailed view of Bens Soft Pretzels's financial position. These statements, along with the notes to the financial statements, can offer insights into the company's assets, liabilities, and cash flow management. A thorough review of all these financial documents is recommended to assess the overall financial stability and performance of Bens Soft Pretzels before making a decision to invest in a franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.