What was the amount of distributions for Casa De Corazon in 2023?
Casa_De_Corazon Franchise · 2025 FDDAnswer from 2025 FDD Document
current liabilities. The balance due to related party amounted to $0, $160,000, and $0 as of December 31, 2024, 2023, and 2022, respectively. The balance due from related party amounted to $6,400, $0, and $4,199 as of December 31, 2024, 2023, and 2022, respectively.
Management fee and overhead allocation
During the year ended December 31, 2024, 2023, and 2022, the Company was charged a total of $460,841, $325,909, $239,746 by Casa de Corazon, Inc., a related entity under common control, consisting of management fees of $422,097, $325,909, $239,746 for executive oversight, strategic planning, and administrative support. Also, an overhead allocation of $38,744, $0, and $0 for shared services such as accounting, marketing, HR, and IT infrastructure for the years ended December 31, 2024, 2023, and 2022, respectively. Th
Source: Item 23 — RECEIPTS (FDD pages 51–215)
What This Means (2025 FDD)
I am unable to provide the amount of distributions for Casa De Corazon in 2023, as this information is not found within the provided excerpts from the 2025 Franchise Disclosure Document. The excerpts do contain information on management fees and overhead allocations charged by Casa de Corazon, Inc., a related entity, to Casa Franchising, LLC for the years 2022, 2023, and 2024. However, these are expenses, not distributions.
To obtain information on distributions, a prospective franchisee should review the complete FDD and specifically look for the company's financial statements. These statements may include details on how profits are distributed to owners or members. If the FDD does not contain this information, it is advisable to ask the franchisor directly about the company's distribution policy and history.
Understanding the distribution policy is crucial for potential franchisees as it provides insight into the financial health and profitability of the franchise system. Knowing how profits are shared can help franchisees make informed decisions about their investment and expected returns.