What was the total amount of revenue recognized by Bonchon during 2023?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |
|---|---|---|
| Deferred revenues - beginning of year | $2,319,570 | $2,459,865 |
| Current year deferred revenue additions | 915,000 | 858,750 |
| Revenue recognized during the year | (546,574) | (979,045) |
| Franchise fee refunds | (192,500) | (20,000) |
| Deferred revenues - end of year | $2,495,496 | $2,319,570 |
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the total revenue recognized during the year 2023 was a negative amount, specifically ($979,045). This figure reflects the revenue recognized during that year related to deferred revenues.
Deferred revenue represents payments Bonchon receives in advance for services or goods that will be delivered or provided in the future. The amount recognized during the year indicates the portion of previously deferred revenue that Bonchon earned and recognized as actual revenue in 2023.
For a prospective franchisee, this information is useful for understanding Bonchon's revenue recognition practices and how deferred revenues impact the company's financial statements. It is important to note that this figure only represents the revenue recognized from deferred revenue and not the total revenue from all sources.