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What is the estimated brand fund contribution for the Chocolate Fish Coffee location in Folsom, CA?

Chocolate_Fish_Coffee Franchise · 2024 FDD

Answer from 2024 FDD Document

$51,051.05 | | Estimated Brand Fund: | $8,508.51 |

Folsom, CA:

Gross Sales: $531,854.48
Estimated Royalty Fees: $31,911.27

Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 37–38)

What This Means (2024 FDD)

According to Chocolate Fish Coffee's 2024 Franchise Disclosure Document, the estimated brand fund contribution for the Folsom, CA location is $8,285.45. This figure is based on gross sales of $828,545.45. The document notes that these figures are historical financial performance representations and not projections of future performance. The data is derived from the period of September 1, 2022, through September 30, 2023.

It is important to understand that this is just an estimate based on the performance of a company-owned location and does not guarantee similar results for a franchisee. The brand fund contribution is calculated as a percentage of gross sales, which in this case appears to be 1%, as noted elsewhere in the document. Gross sales are defined as total revenue less sales tax, discounts, and returns.

The FDD emphasizes that individual results may vary, and there is no assurance that a franchisee will achieve the same level of sales or brand fund contribution. Prospective franchisees should conduct their own independent investigation of the costs and expenses associated with operating a Chocolate Fish Coffee franchise. This includes understanding how the brand fund is used and its potential impact on their business.

Item 19 of the FDD provides financial performance representations, but it explicitly states that these are not projections. Chocolate Fish Coffee does not make any guarantees about a franchisee's future financial performance. The FDD also advises that if a prospective franchisee receives any financial performance information or projections outside of Item 19, they should report it to the franchisor's management, the Federal Trade Commission, and the appropriate state regulatory agencies.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.