What was the total purchase amount of inventory and other goods from related parties by Chesters in 2023?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
ertain entities with common ownership and other related parties. The following table summarizes these transactions:
| | 2024 | 2023 | |---------------------------------------------------------------------------
Source: Item 21 — **FINANCIAL STATEMENTS (FDD page 48)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, the total purchase of inventory and other goods in 2023 was $8,384,518. This figure reflects the total amount Chesters spent on inventory and other goods from both related and unrelated parties during that year.
Additionally, the FDD notes that approximately 19% of Chesters's costs from suppliers were from one related party supplier in 2023. This indicates that a portion of the $8,384,518 was spent with a supplier that has a relationship with Chesters, although the exact dollar amount of purchases from related parties is not specified.
Prospective franchisees should be aware of these related-party transactions, as they could potentially impact the cost and availability of supplies. It would be prudent for potential franchisees to inquire about the nature of these relationships and how they might affect their business operations.