What was the amount of contributions from members to Boulder Designs in 2022?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
of long-term debt | 13,971 | 20,793 | | Accounts payable | 191,886 | 291,188 | | Accrued expenses | 293,743 | 188,330 | | Deferred revenue, current | 909,641 | 843,033 | | Total current liabilities | 1,657,241 | 1,598,344 | | Long-term debt, excluding current portion | 571,730 | 528,240 | | Deferred revenue, net of current portion | 3,111,996 | 2,935,560 | | Due to related parties | 272,385 | 390,774 | | Total liabilities | 5,613,352 | 5,452,918 | | Member's deficit | (4,122,037) | (3,810,894) | | Total liabilities and member's deficit | $1,491,315 | 1,642,024 |
See accompanying notes to financial statements.
Statements of Operations and Member's Deficit Years Ended December 31,
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Revenues: | |||
| Franchise fees and royalties | $ 1,297,293 | 420,131 | 1,427,998 |
| Equipment sales | 622,295 | 763,122 | 486,777 |
| Supplies and other | 410,209 | 406,107 | 249,339 |
| 2,329,797 | 1,589,360 | 2,164,114 | |
| Expenses: | |||
| Cost of equipment and supplies | 527,346 | 549,888 | 404,792 |
| Licensing fees | 262,231 | 264,911 |
Source: Item 23 — RECEIPT (FDD pages 50–217)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the contributions from members in 2022 totaled $403,269. This figure reflects the financial support provided by the members to Boulder Designs during that year.
This contribution can be an important indicator of the financial health and stability of Boulder Designs. Member contributions might be used for various purposes, such as funding operational expenses, supporting expansion initiatives, or covering unforeseen financial shortfalls. A prospective franchisee should consider this figure in the context of the company's overall financial performance.
Reviewing the trend of member contributions over the three years (2022-2024) can provide further insights. While the contribution was $403,269 in 2022, it decreased to $259,214 in 2023 and further to $87,889 in 2024. This decreasing trend may warrant further investigation to understand the reasons behind the decline and its potential impact on the company's future financial stability. A potential franchisee should inquire with Boulder Designs about the reasons for these fluctuations and how the company plans to address any potential funding gaps.