How much did C12 Group spend on Board of Directors expenses in 2022?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
embers' Capital | 1,843,880 | 1,312,531 | | Total Liabilities and Members' Capital | $ 3,534,314 | $ 1,840,832 |
Consolidated Statements of Operations and Members' Capital Years Ended December 31, 2022 and 2021
| 2022 | 2021 | |
|---|---|---|
| Revenues: | ||
| Franchise Fees | $ 5,362,125 | $ 4,232,334 |
| Dues - C12 Atlanta | 429,500 | 341,900 |
| International License Fees | 115,917 | 76,750 |
| New Member Registration Fees | 396,775 | 291,525 |
| Merchandise and Promotion | 134,973 | 158,393 |
| Total Revenues | 6,439,290 | 5,100,902 |
| Operating Expenses: | ||
| Curriculum and Kits | 489,001 | 332,582 |
| Contract Labor | 694,667 | 499,758 |
| Bad Debt Expense | 3,000 | - |
| Merchandise | 103,167 | 215,886 |
| Content Production | 94,610 | 34,058 |
| Advertising | 65,169 | 134,466 |
| Service Fees | 73,375 | 58,555 |
| Co-op Marketing | 42,879 | 64,452 |
| Travel and Entertainment | 194,270 | 83,225 |
| Franchise Marketing and Administration | 11,708 | 10,763 |
| New Chair Training | 98,722 | 70,974 |
| Technology | 124,927 | 74,756 |
| Chair Development and Training | 141,774 | 143,041 |
| Miscellaneous Projects | 15,038 | 13 |
| Administration | - | - |
| Chair Services | 90,966 | 103,260 |
| Office and Equipment | 215,986 | 221,6 |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, the company's expenses for the Board of Directors totaled $134,206 in 2022. This figure is part of the overall operating expenses for that year. For a prospective franchisee, this indicates the level of investment C12 Group makes in governing and overseeing the organization.
Understanding these expenses can provide insight into how C12 Group manages its finances and allocates resources. Board of Directors expenses may cover costs such as board member compensation, travel, meetings, and other related activities. These expenses are important for ensuring effective leadership and strategic decision-making within the company.
It's also useful to compare this figure with the 2021 expenses, which were $12,141, to understand any significant changes or trends in board-related spending. A substantial increase in expenses could indicate changes in board composition, increased activity, or other strategic shifts within C12 Group. Reviewing these figures in the context of overall revenues and operating expenses can provide a more comprehensive understanding of the company's financial health and management practices.
Prospective franchisees should consider these expenses as part of their due diligence, evaluating whether the investment in the Board of Directors aligns with the company's performance and strategic goals. It is also advisable to inquire about the specific activities and responsibilities of the Board to understand the value they bring to the franchise system.