What amount of revenue did Chatime recognize 'over time' from franchise fees in 2023?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
economic factors.
Revenues by timing of recognition were as follows for the years ended December 31, 2024 and 2023:
| 2024 | 2023 | |
|---|---|---|
| Point in time: Franchise fees | $ 10,000 | $ _ |
| Royalties and marketing fund fees | 88,993 | |
| Total point i |
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, the company recognized $2,706 in revenue 'over time' from franchise fees during the year 2023. This revenue recognition method, 'over time,' typically applies to fees associated with services or rights that are provided continuously throughout the franchise term.
This figure is important for prospective franchisees as it provides insight into how Chatime recognizes revenue from its franchise fees. The "over time" recognition suggests that these fees are not fully earned upfront but are instead recognized as revenue as Chatime provides ongoing support and services to its franchisees.
The FDD also shows that in 2024, Chatime recognized $42,531 in revenue 'over time' from franchise fees. Reviewing these figures over multiple years can help potential franchisees understand the stability and growth of Chatime's revenue streams. Additionally, the document indicates that Chatime's total revenues for 2023 were $2,706, and $141,524 in 2024.