What was the total revenue from contracts with customers for Bens Soft Pretzels in 2022?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
2024, 2023, and 2022
NOTE 2 – REVENUE RECOGNITION (CONTINUED)
Disaggregation of revenue from contracts with customers (continued)
| Franchise | Royalty | Advertising | Other | _ | |
|---|---|---|---|---|---|
| Fees | Fees | Fund Fees | Income | Total | |
| Revenue from contracts with customers | $ 147,358 | $ 1,064,701 | $ 232,493 | $ 18,418 | $ 1,462,970 |
| Revenue from other sources | - | - | - | 49,588 | 49,588 |
| $ 147,358 | $ 1,064,701 | $ 232,493 | $ 68,006 | $ 1,512,558 | |
| Franchise | Royalty | Advertising | Other | ||
| Fees | Fees | Fund Fees | Income | Total | |
| Revenue recognized at a point in time | $ - | $ 1,064,701 | $ 232,493 | $ 18,418 | $ 1,315,612 |
| Revenue recognized over time | 147,358 | 147,358 | |||
| Revenue from contracts with customers | $ 147,358 | $ 1,064,701 | $ 232,493 2022 2022 | $ 18,418 | $ 1,462,970 |
| Franchise | Royalty | Advertising | Other | ||
| Franchise Fees | Royalty Fees | Other Income | Total | ||
| Revenue from contracts with customers | Advertising | Total $ 1,203,880 | |||
| Revenue from contracts with customers Revenue from other sources | Fees | Fees | Advertising Fund Fees | Income | |
| Fees | Fees | Advertising Fund Fees | Income $ 7,480 | $ 1,203,880 | |
| Fees $ 128,065 | Fees $ 877,461 | Advertising Fund Fees $ 190,874 | Income $ 7,480 45,126 | $ 1,203,880 45,126 | |
| Fees $ 128,065 - $ 128,065 | Fees $ 877,461 - $ 877,461 | Advertising Fund Fees $ 190,874 - $ 190,874 | $ 7,480 45,126 $ 52,606 | $ 1,203,880 45,126 | |
| Fees $ 128,065 - $ 128,065 Franchise | Fees $ 877,461 $ 877,461 Royalty | Advertising Fund Fees $ 190,874 - $ 190,874 Advertising | Income 7,480 45,126 52,606 Other | $ 1,203,880 45,126 $ 1,249,006 | |
| Revenue from other sources | Fees $ 128,065 | Fees $ 877,461 - $ 877,461 Royalty Fees | Advertisin |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels FDD, the total revenue from contracts with customers in 2022 was $1,203,880. This revenue is derived from several sources, including franchise fees, royalty fees, advertising fund fees, and other income. Franchise fees totaled $128,065, royalty fees amounted to $877,461, advertising fund fees reached $190,874 and other income contributed $7,480.
For a prospective franchisee, understanding the breakdown of revenue sources is crucial. Royalty and advertising fees, which constitute a significant portion of the revenue, are ongoing payments based on sales. Franchise fees are collected from new franchisees joining the Bens Soft Pretzels system. Other income may include revenue from the sale of goods to franchisees or other smaller revenue streams.
It is important to note that Bens Soft Pretzels also had revenue from other sources totaling $45,126 in 2022. This is separate from the revenue derived from contracts with customers. Therefore, the total revenue for Bens Soft Pretzels in 2022, combining both contracts with customers and other sources, was $1,249,006.
Prospective franchisees should analyze these figures in conjunction with the expenses and costs associated with running a Bens Soft Pretzels franchise to determine potential profitability. Understanding the revenue streams and their relative contributions can help in forecasting future earnings and assessing the overall financial health of the franchise system.