What was the revenue from merchandise and promotion for The C12 Group, LLC 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 |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 FDD, C12 Group's revenue from merchandise and promotion in 2022 was $134,973. This figure is part of the total revenue reported in the company's statements of operations. For a prospective franchisee, this indicates the revenue generated from the sale of merchandise and promotional items associated with the C12 Group brand.
This revenue stream is relatively small compared to the franchise fees, dues, and new member registration fees, which constitute the majority of C12 Group's revenue. Franchisees might consider the potential to increase this revenue stream through more effective marketing or a broader range of merchandise offerings. However, it is important to note that the cost of merchandise sold by C12 Group was $103,167 in 2022, impacting the net profit from this revenue stream.
It's worth noting that the revenue from merchandise and promotion decreased from $158,393 in 2021 to $134,973 in 2022. A potential franchisee should investigate the reasons for this decrease and whether this trend is expected to continue. Understanding the demand for merchandise and promotional items can help a franchisee assess the potential for this aspect of the business.
Overall, while merchandise and promotion contribute to C12 Group's revenue, it is a smaller component compared to other revenue streams. Prospective franchisees should focus more on the core business model involving franchise fees and membership dues, while also considering the potential to optimize merchandise and promotion revenue.