What were the total expenses for Caring Transitions in 2023?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
| 924,955 | 543,380 | | | 1,646,345 | 631,072 | 249,497 | | | $ 4,766,706 | 2,672,587 | 2,412,806 |
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Revenue: | |||
| Revenue from franchise agreements | $ 7,731,280 | 6,565,467 | 5,031,029 |
| National Branding Fund revenue | 2,008,018 | 1,760,093 | 1,447,978 |
| 9,739,298 | 8,325,560 | 6,479,007 | |
| Expenses: | |||
| Advertising & marketing | 726,488 | 663,540 | 535,926 |
| Bank & payroll fees | 5,756 | 10,164 | 6,248 |
| Computer expenses | 197,874 | 156,949 | 282,073 |
| Depreciation | 48,334 | 56,596 | 46,554 |
| Dues & subscriptions | 692 | 1,627 | 1,178 |
| Employee-related expenses | 17,703 | 17,688 | 10,653 |
| Insurance | 24,161 | 14,569 | 10,052 |
| Leased employees expenses | 2,784,955 | 2,196,943 | 1,987,285 |
| Licenses | 4,418 | 4,723 | 2,122 |
| National Branding Fund expenses | 1,738,015 | 1,452,123 | 1,316,876 |
| Office & supplies | 15,916 | 14,690 | 13,923 |
| Postage | 4,327 | 4,583 | 4,990 |
| Professional fees | 321,350 | 275,662 | 297,712 |
| Rent | 118,615 | 113,918 | 108,924 |
| Repairs & maintenance | 1,221 | 680 | 190 |
| Sales related expenses | 541,980 | 559,221 | 527,523 |
| Telephone | 81,013 | 32,391 | 33,697 |
| Training & meetings | 230,038 | 165,798 | 204,102 |
| Website expenses | 146,755 | 163,931 | 2,132 |
| Total expenses | 7,009,611 | 5,905,796 | 5,392,160 |
| Income from operations | 2,729,687 | 2,419,764 | 1,086,847 |
| Other income (expense): | |||
| Interest income | 24,656 | 9,850 | 3,225 |
| Interest expense | (804) | (1,753) | (3,734) |
| Other income | 689 | 150 | 6,463 |
| State & local taxes | (33,955) | (98,937) | (75,278) |
| Total other expense | (9,414) | (90,690) | (69,324) |
| Net income | $ 2,720,273 | 2,329,074 | 1,017,523 |
| Retained earnings, beginning | 924,955 | 543,380 | 618,358 |
| Distributions | (1,70 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, the total expenses for the company in 2023 were $5,905,796. This figure encompasses a variety of operational costs, providing insight into where Caring Transitions allocates its resources. Understanding these expenses can help a prospective franchisee assess the financial health and stability of the franchisor.
Breaking down the expenses, the largest single expense category for Caring Transitions in 2023 was leased employee expenses, which amounted to $2,196,943. Other significant expenses included advertising and marketing ($663,540), and National Branding Fund expenses ($1,452,123). These figures suggest that Caring Transitions invests heavily in its workforce and marketing efforts to support its franchisees.
For a potential franchisee, this information is crucial for several reasons. First, it provides a benchmark for evaluating the franchisor's financial management. Second, it highlights the areas where Caring Transitions spends the most money, which can indicate the franchisor's priorities and strategies for growth. Finally, understanding the expense structure can help franchisees anticipate potential costs and plan their own business operations more effectively. It is important to note that these are the expenses of the franchisor, not the franchisee, and do not reflect the expenses a franchisee will incur operating their own Caring Transitions franchise.