What was the net income (loss) for Bevaris Alliance in 2023?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
| 2023 | 2022 | |
|---|---|---|
| REVENUE: | ||
| Franchise fees | $ 844,819 | $ 388,798 |
| Vending income | 1,205 | 839 |
| Other income | 1,900 | 310 |
| TOTAL REVENUE | 847,924 | 389,947 |
| EXPENSES: | ||
| Accounting | 19,737 | 19,415 |
| Advertising & marketing | 1,229 | 3,212 |
| Amortization expense | 14,656 | 6,107 |
| Auto expense | 541 | ===- |
| Bank service charges | 813 | 379 |
| Bookkeeping | 33,274 | - |
| Business licenses & permits | 2,280 | 177 |
| Computer & internet | 2,482 | 1,144 |
| Consulting | 153,520 | _ |
| Dues & subcriptions | . 373 | 1,041 |
| Vending food purchases | - | 827 |
| Management fees | 486,000 | 96,000 |
| Meals & entertainment | 595 | - |
| Insurance expense | 6,312 | _ |
| Interest | ||
| 91 | 117 | |
| Legal | 26,244 | 7,920 |
| Outside services | ||
| 126,166 | 109,190 | |
| Office expenses | . 346 | - |
| Rent | ||
| Research & development | 13,280 | 5,676 |
| Travel | 2,500 | - |
| Telephone | 500 | - - 077 |
| rerebuone | 13,850 | 6,077 |
| TOTAL EXPENSES | 904,789 | 257,282 |
| INCOME FROM OPERATIONS | ( 56,865) | 132,665 |
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to Bevaris Alliance's 2024 Franchise Disclosure Document, the company experienced a net loss in 2023. The provided financial statement shows that Bevaris Alliance had a net loss of $57,665 for the year 2023. This contrasts with the previous year, 2022, when the company reported a net income of $130,380.
This net loss could be a point of concern for potential franchisees. It's important to understand the reasons behind this loss, whether it's due to increased expenses, decreased revenue, or other factors. A significant change in net income (or a shift from profit to loss) warrants further investigation to assess the financial stability and future prospects of the franchise system.
Prospective franchisees should inquire about the factors contributing to the net loss in 2023 and what measures Bevaris Alliance is taking to improve its financial performance. Understanding the franchisor's financial health is crucial in evaluating the risks and potential rewards of investing in a Bevaris Alliance franchise. Reviewing the complete financial statements and discussing them with a financial advisor is highly recommended.