What was the total technology fee revenue for Caring Senior Service in 2023?
Caring_Senior_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | ||
|---|---|---|---|---|
| Revenues | ||||
| Royalty fees | $2,112,484 | $ 1,951,540 | $ 1,682,759 | |
| Franchise sales and renewal fees | 182,156 | 195,278 | 206,868 | |
| Technology fee revenue | 1,091,807 | 876,001 | 528,246 | |
| Reimbursed charges from franchises, net | 205,963 | 444,914 | 247,305 | |
| Total Revenue | 3,592,410 | 3,467,733 | 2,665,178 | |
| Operating Expenses | ||||
| General and administrative expenses | 1,173,689 | 1,525,555 | 1,403,766 | |
| Partners' compensation | 62,000 | 65,000 | 66,000 | |
| Technology fee expense | 1,066,368 | 757,400 | 664,191 | |
| Employee lease expense | 852,689 | 1,276,777 | 988,026 | |
| Total Operating Expenses | 3,154,746 | 3,624,732 | 3,121,983 | |
| Net Operating (Loss) Income Before | ||||
| State Franchise Tax Provision | 437,664 | (156,999) | (456,805) | |
| State franchise tax provision | ( 18,648) | (17,968) | (7,981) | |
| Net Income (Loss) | $ 419,016 | $ (174,967) | $ (464,786) |
Source: Item 23 — RECEIPTS (FDD pages 53–204)
What This Means (2025 FDD)
According to the 2025 Caring Senior Service Franchise Disclosure Document, the total technology fee revenue for the company in 2023 was $876,001. This revenue is collected from franchisees as part of their ongoing fees, in exchange for the technology services that Caring Senior Service provides.
Technology fees are a common revenue stream for franchisors, particularly as technology plays an increasingly important role in business operations. These fees often cover software, hardware, and IT support provided to franchisees. For a prospective Caring Senior Service franchisee, the technology fee revenue indicates the franchisor's investment and potential reliance on technology to support the franchise system.
It is important to note that this figure represents the revenue received by Caring Senior Service, not the expenses incurred by franchisees for technology. While the franchisor collects this revenue, they also incur expenses related to technology, as shown in the table. Reviewing both the technology fee revenue and the technology fee expense can provide a more complete picture of the role of technology within the Caring Senior Service franchise system.