What was the net income for Cicis franchisees in 2021?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2023 | 2022 | |
|---|---|---|
| Revenue: | ||
| Marketing fees | $ 17,219,322 | $ 15,444,992 |
| Franchise royalties | 14,105,892 | 12,763,629 |
| Franchise fees | 57,395 | 56,650 |
| Incentive income from vendors | 758,680 | 696,674 |
| Marketing income from vendors | 9,123,662 | 7,780,359 |
| Total revenues | 41,264,951 | 36,742,304 |
| Expenses: | ||
| Marketing general and administrative costs | 25,000,069 | 20,591,878 |
| Other general and administrative | 10,509,727 | 6,810,068 |
| Total expenses | 35,509,796 | 27,401,946 |
| Other income, net | 104,550 | 66,665 |
| Net income | $ 5,859,705 | $ 9,407,023 |
Combined Statements of Changes in Members' Capital Years Ended December 31, 2023 and 2022
| Balance, December 31, 2021 | $ 1,413,484
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 58–64)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the net income for Cicis franchisees in 2021 was $9,407,023. This figure is part of a table showing the changes in balance, distributions, and net income over several years. In addition to the net income, the balance on December 31, 2021, was $1,413,484, and distributions totaled $7,277,500.
It's important to note that this net income figure may represent the combined net income of all Cicis franchisees, rather than the net income of an individual franchisee. A prospective franchisee should clarify with Cicis whether this is an aggregate number and, if so, request information on the average or median net income for individual franchise locations. Understanding the distribution of income among franchisees is crucial for assessing the potential profitability of a Cicis franchise.
Furthermore, the document also shows the net income and distributions for 2022 and 2023, which can provide a trend for potential earnings. Net income decreased to $5,859,705 in 2023, with distributions of $8,300,000. Reviewing these figures over multiple years can help a potential franchisee understand the financial performance and stability of the Cicis franchise system. A prospective franchisee should investigate the reasons behind these changes to better understand the potential risks and rewards of investing in a Cicis franchise.