What was the total revenue from franchise fees for Best Brains as of December 31, 2024?
Best_Brains Franchise · 2025 FDDAnswer from 2025 FDD Document
| December 31, 2024 | December 31, 2023 | |
|---|---|---|
| Current Assets | ||
| Cash and cash equivalents | $ 219,342 | $ 285,979 |
| Due from related affiliates | 100,000 | 199,679 |
| Accounts Receivable | 2,444,879 | 2,038,407 |
| Advances | 140,891 | 140,891 |
| Inventory | 1,483,909 | 417,347 |
| Loan receivable | 666,477 | 942,746 |
| Other Current Assets | 6,926 | 15,822 |
| Total Current Assets | 5,062,424 | 4,040,872 |
| Fixed Asset | ||
| Building and equipment | 160,000 | 160,000 |
| Furniture and fixture | 121,927 | 119,417 |
| Vehicles | 545,919 | 246,030 |
| Less:Accumulated depreciation | (331,132) | (278,956) |
| Total Fixed Asset | 496,714 | 246,490 |
| Intangible Asset | 96,000 | 96,000 |
| Software development | ||
| Less:Accumulated amortization | (59,400) | (47,200) |
| 36,600 | 48,800 | |
| Total Assets | 5,595,738 LIABILITIES AND STOCKHOLDERS' EQUITY | 4,336,162 |
| Current Liabilities | ||
| Account and credit card payable | 4,116,083 | 3,545,720 |
| Mortgages, notes, bonds payable within 1 year |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2025 FDD)
According to Best Brains' 2025 Franchise Disclosure Document, the total revenue from franchise fees as of December 31, 2024, was $77,987. This indicates the income Best Brains generated specifically from the initial fees paid by new franchisees joining the system during that year. Franchise fee revenue increased from $75,983 in 2023 to $77,987 in 2024.
It's important to note that this figure represents only the initial franchise fees and does not include other sources of revenue for Best Brains, such as royalty income, tuition fees, material charges, or other operating income. These additional revenue streams contribute significantly to Best Brains' overall financial performance. For example, royalty income for the same period was $4,075,600, dwarfing the revenue from franchise fees.
Prospective franchisees should consider the franchise fee revenue in the context of Best Brains' overall financial health and revenue streams. While franchise fees are a direct indicator of new franchise sales, the long-term profitability of a Best Brains franchise will depend more on factors such as royalty payments and the center's ability to attract and retain students. Reviewing the trends in all revenue categories can provide a more comprehensive understanding of Best Brains' financial stability and growth.