What was the advertising expense for Bor Restoration in 2022?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
duce credit risk. The Company performs ongoing credit evaluations of its franchisees but generally does not require collateral to support accounts receivable.
The Company's cash demand deposits are held at financial institutions at which deposit
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the company's advertising expenses for the year ending December 31, 2022, totaled $23,702. This figure reflects the costs Bor Restoration incurred for advertising efforts aimed at recruiting potential franchise candidates.
It is important to note that these advertising expenses are distinct from any national branding fees that Bor Restoration may collect from franchisees in the future. The FDD specifies that any national branding fees would be used for advertising intended to benefit franchisees, whereas the stated advertising expenses relate to franchise recruitment.
Prospective franchisees should understand the difference between these two types of advertising expenditures. The $23,702 spent in 2022 was for attracting new franchisees, not for promoting the services of existing franchise locations. Franchisees may want to inquire about Bor Restoration's plans for national branding and advertising initiatives to support their businesses and how those funds will be managed and allocated.