What was the total rent expense for Bojangles for the year ended December 31, 2023?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
lease assets are included in property and equipment, net and were recorded net of accumulated amortization of $17,492 and $17,453 as of December 29, 2024 and December 31, 2023, respectively.
(dollars in thousands, except par values and per unit values)
Lease costs and rental income were as follows:
| Years Ended | ||||||
|---|---|---|---|---|---|---|
| December 29, 2024 | December 31, 2023 | December 25, 2022 | ||||
| Finance lease cost | ||||||
| Amortization of lease assets (a) | $ | 1,874 | $ | 3,168 | $ | 1,228 |
| Interest on lease obligations ( |
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, the total rent expense for the year ended December 31, 2023, was $51,342. This figure includes minimum land, building, and equipment rental expenses of $50,729 and contingent and percentage rental expenses of $613.
For a prospective franchisee, understanding the components of rent expense is crucial. The minimum rent covers the base cost of leasing the land, building, and equipment necessary to operate a Bojangles restaurant. The contingent rent, on the other hand, may fluctuate based on the restaurant's performance, often calculated as a percentage of sales. This means that during periods of higher revenue, a franchisee might expect to pay more in rent, while during slower periods, the rent expense could decrease.
It's also important to note that these figures do not reflect the net rent expense after accounting for income from leases and subleases. Bojangles also reports a deduction for income from leases and subleases, which was $8,939 for the year ended December 31, 2023. The net rent expense, after factoring in this income, was $42,403. Franchisees should consider these nuances when projecting their own potential rental expenses and profitability. Understanding these figures helps potential franchisees to forecast expenses and assess the financial viability of operating a Bojangles franchise.