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What was the total amount of distributions for Best Brains in 2023?

Best_Brains Franchise · 2025 FDD

Answer from 2025 FDD Document

ed franchise revenue liability of $ 136,168.01 and $ 162,151.40 was recognized in 2023 & 2022 respectivel

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)

What This Means (2025 FDD)

According to Best Brains' 2025 Franchise Disclosure Document, shareholder distributions for the year 2023 totaled $64,700. This figure represents the amount of money distributed to the shareholders of Best Brains Inc. during that fiscal year. The document specifies that no 1099-Dividend statement was issued for these distributions.

For a prospective franchisee, this indicates the level of financial commitment Best Brains has made to its shareholders. It's a direct outflow of funds from the company to its owners. While not inherently negative, it's important to consider this in the context of the company's overall financial health and profitability. A franchisee might want to compare this distribution amount to previous years to identify any trends.

It is also important to note that the FDD clarifies that the financial statements were audited by Anil Malhotra & Co LTD. This audit provides an independent opinion on the fairness of the presentation of Best Brains' financial position, results of operations, and cash flows for the year ended December 31, 2023. This can give potential franchisees more confidence in the accuracy and reliability of the financial information provided.

Prospective franchisees should consider this distribution in conjunction with other financial metrics, such as revenue, expenses, and net income, to gain a comprehensive understanding of Best Brains' financial performance. It is also advisable to seek professional financial advice to assess the implications of these distributions on the long-term stability and growth potential of the 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.