What was the net income for Browns Chicken between January 1 and March 30, 2025?
Browns_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| Jan 1 - Mar 30, 25 | |
|---|---|
| Ordinary Income/Expense | |
| Income | |
| MISC. INCOME | 142.65 |
| RENT INCOME ROYALTY INCOME | 1,680.00 |
| ROYALTY DOOR DASH INCOME | 1,372.33 |
| ROYALTY GAMING INCOME | 6,415.05 |
| ROYALTY GRUBHUB INCOME | 391.36 |
| ROYALTY UBER EATS INCOME | 931.04 |
| ROYALTY INCOME - Other | 45,495.30 |
| Total ROYALTY INCOME | 54,605.08 |
| VENDOR PROMO ALLOWANCE | 324.00 |
| Total Income | 56,751.73 |
| Gross Profit | 56,751.73 |
| Expense | |
| ACCOUNTING FEES | 4,865.00 |
| AUTO EXPENSES | 5,216.30 |
| BANK SERVICE CHARGES | 1,263.72 |
| COMPUTER & INTERNET EXPENSES | -139.66 |
| EMPLOYEE BENEFITS | 104.07 |
| INSURANCE | |
| COMMERCIAL AUTO | 5,812.54 |
| WORKERS COMPENSATION | 614.10 |
| Total INSURANCE | 6,426.64 |
| LEGAL EXPENSES | 700.00 |
| MEALS & ENTERTAINMENT | 99.77 |
| OFFICE SUPPLIES | 2,108.28 |
| PERSONNEL EXPENSES - G&A PERSONNEL EXPENSE- BONUS OFFICE | 0.00 |
| Total PERSONNEL EXPENSES - G&A | 0.00 |
| PERSONNEL EXPENSES - OPERATIONS | |
| FED U C EXPOPS | 105.32 |
| FICA EXPOPS | 2,325.59 |
| STATE U C EXPOPS | 227.98 |
| SUPERVISOR SALARIES,OPS. | 30,400.12 |
| Total PERSONNEL EXPENSES - OPERATIONS | 33,059.01 |
| POSTAGE EXPENSES | 212.42 |
| RENT EXPENSE | 4,050.00 |
| REPAIR & MAINT.EXP., G&A | 17.00 |
| RESEARCH & DEVELOPMENT | 1,849.05 |
| SMALL WARES SQUARE SUBSCRIPTION | 263.64 250.00 |
| TELEPHONE EXPENSES | 1,638.35 |
| UTILITIES | 585.70 |
| Total Expense | 62,569.29 |
| Net Ordinary Income | -5,817.56 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 42)
What This Means (2025 FDD)
According to Browns Chicken's 2025 Franchise Disclosure Document, the company's net ordinary income between January 1 and March 30, 2025, was reported as a loss of $5,817.56. This figure reflects the company's financial performance during the first quarter of the year.
This unaudited statement of operations includes various income and expense categories. The total income for this period was $56,751.73, derived primarily from royalty income streams such as 'ROYALTY INCOME - Other' which contributed $45,495.30, and other royalties from Door Dash, Gaming, Grubhub, and Uber Eats. The total expenses amounted to $62,569.29, encompassing costs like accounting fees ($4,865.00), auto expenses ($5,216.30), insurance ($6,426.64), rent ($4,050.00), and personnel expenses ($33,059.01).
The fact that Browns Chicken experienced a net loss during this period may be a point of interest for potential franchisees. It is important to investigate the reasons behind this loss, whether it is due to seasonal factors, specific investments made during that time, or other operational challenges. Understanding the factors influencing the company's profitability is crucial for making an informed investment decision.
Prospective franchisees should compare these figures with previous years and industry benchmarks to assess the financial health and stability of Browns Chicken. Further due diligence, including discussions with existing franchisees and a thorough review of the complete financial statements, is recommended to gain a comprehensive understanding of the franchise's financial performance.