What was the GMF expense for Brightstar Care for the year ended December 31, 2023?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
| over time at the greater of the actual GMF fees earned or the contract monthly minimum each | |||||||
|---|---|---|---|---|---|---|---|
| month, and marketing expenses are recognized when incurred within the Company’s consolidated | |||||||
| statements of income. | GMF income | was | $13,476,528 | and | $12,833,485 | for the | years ended |
| December 31, 2023 and January 1, 2023, respectively, | and is included | within the consolidated | |||||
| statements of income. | GMF expense | was | $12,493,237 | and | $12,572,362 | for the | years ended |
Source: Item 23 — RECEIPTS (FDD pages 118–387)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the GMF (General Marketing Fund) expense for the year ended December 31, 2023, was $12,493,237. This figure reflects the expenses Brightstar Care incurred related to the general marketing fund during that fiscal year. The GMF expense is included within the company's consolidated statements of income.
Understanding the GMF expense is important for prospective franchisees as it provides insight into the scale of marketing investments made by Brightstar Care. The GMF is typically funded by contributions from franchisees and is used to promote the brand and generate leads at a national or regional level. Knowing the amount spent can help franchisees assess the franchisor's commitment to marketing support.
It's also useful to compare the GMF expense with the GMF income, which for the year ended December 31, 2023, was $13,476,528. The difference between the income and expense can indicate how efficiently Brightstar Care is managing the marketing fund and whether there is a surplus or deficit. Franchisees may want to inquire about how any surplus funds are used or how deficits are covered.
Reviewing these figures over multiple years, as presented in the FDD, can provide a more comprehensive understanding of Brightstar Care's financial management and marketing strategy. Prospective franchisees should also ask for details on how the GMF is allocated and what specific marketing activities are funded through it.