What was the total amount of distributions for Cicis franchisees in 2022?

According to Cicis's 2025 Franchise Disclosure Document, distributions were made to related parties, not specifically to franchisees. During the years ended December 31, 2023 and 2022, the company made distributions to related parties in the amounts of $8,300,000 and $7,277,500, respectively.

These distributions are related to transactions between Cicis and its related-party affiliates, as detailed in the notes to the combined financial statements. These transactions include services provided by Cicis to its affiliates, covering shared costs such as employee services, accounting, legal, IT, and HR. The costs for these services are allocated based on revenue, headcount, or direct costs.

It is important to note that these distributions are not direct payments to franchisees but rather internal financial transactions within the Cicis corporate structure. A prospective franchisee should focus on understanding the nature of these related-party transactions and how they might indirectly affect the financial health and stability of the Cicis franchise system.