What were the total revenues from initial franchise fees for C3 Wellness Spa in 2023?
C3_Wellness_Spa Franchise · 2024 FDDAnswer from 2024 FDD Document
| Franchisor’s Optional Fixed Fee Royalty Fee Structure | |
|---|---|
| Weeks 1 to 52 | $1,000 per week |
| Weeks 53 to 104 | $1,750 per week |
| Weeks 105 to 156 | $2,500 per week |
| Weeks 157 to 208 | $3,000 per week |
| Weeks 209 to 260 | $3,250 per week |
| Weeks 261 to 312 | $3,500 per week |
| Weeks 313 and each week there after | $3,750 per week |
| Renewal Term: During any applicable renewal term, Franchisor’s Optional Fixed Fee Royalty Fee | |
| shall be determined by Franchisor but, shall not be less than Franchisor’s Optional Fixed Royalty | |
| applicable in weeks 313 and after and shall be subject to increase as determined by Franchisor | |
| provided that, within each calendar year of any renewal term, Franchisor shall not increase | |
| Franchisor’s Optional Fixed Royalty by not more than $150 per w |
Source: Item 23 — RECEIPTS (FDD pages 59–293)
What This Means (2024 FDD)
According to C3 Wellness Spa's 2024 Franchise Disclosure Document, the total revenues from initial franchise fees in 2023 were $9,000. This figure represents the income C3 Wellness Spa received from franchisees who paid the initial fee to join the franchise system during that year.
For a prospective franchisee, this number provides insight into the franchisor's revenue streams and growth. A higher number may indicate a growing franchise system, while a lower number could suggest slower expansion or challenges in attracting new franchisees. It's important to consider this figure in conjunction with other financial data, such as operating expenses and net income, to get a comprehensive understanding of C3 Wellness Spa's financial health.
It is also important to note that this figure only reflects initial franchise fees and does not include other potential revenue sources for C3 Wellness Spa, such as royalties, marketing fees, or sales of products and services to franchisees. A potential franchisee should investigate these other revenue streams to fully understand the franchisor's financial model and stability.