What was the amount of interest income for Chesters in 2023?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
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CHESTER'S INTERNATIONAL, LLC STATEMENTS OF INCOME AND MEMBERS' EQUITY FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022
| 2023 | 2022 | |
|---|---|---|
| SALES | $ 51,619,527 | $ 46,103,618 |
| COST OF SALES | 33,882,255 | 29,397,777 |
| GROSS PROFIT | 17,737,272 | 16,705,841 |
| SELLING AND ADMINISTRATIVE EXPENSES | 15,132,464 | 13,944,251 |
| OPERATING INCOME | 2,604,808 | 2,761,590 |
| OTHER INCOME (EXPENSE) | ||
| Interest income | 20,370 | 125 |
| Other income | 96,706 | 93,840 |
| Interest expense | (139,101) | (162,422) |
| Total other expense | (22,025) | (68,457) |
| NET INCOME | 2,582,783 | 2,693,133 |
| MEMBERS' EQUITY AT BEGINNING |
Source: Item 21 — **FINANCIAL STATEMENTS (FDD page 48)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, the interest income for 2023 was $20,370. This figure is part of the broader financial statements that include sales, cost of sales, gross profit, selling and administrative expenses, and operating income. It is categorized under 'Other Income (Expense)' along with other income and interest expense.
For a prospective franchisee, understanding the franchisor's interest income can provide insights into the company's financial health and investment strategies. While interest income may not be a primary revenue source for a franchise system like Chesters, it can contribute to the overall profitability and financial stability of the company. This information, when viewed alongside other financial metrics, helps potential franchisees assess the financial strength of the franchisor.
It's important to note that interest income is just one component of Chesters's overall financial performance. Franchisees should consider this figure in the context of the company's total revenues, expenses, and profitability to gain a comprehensive understanding of its financial standing. Reviewing these figures over multiple years, as presented in the FDD, can also reveal trends and patterns that may be relevant to a franchisee's investment decision.