What was the largest source of revenue for City Publications in 2024?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
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Estimated Recognition of Deferred Franchise Fees
Estimated revenues and franchise acquisition costs to be recognized in future periods related to deferred franchise fees reported as of December 31, 2024, is as follows:
| Non-refundable Franchise Fees | ||
|---|---|---|
| Year ending December 31: | ||
| 2025 | $ | 29,393 |
| 2026 | 22,613 | |
| 2027 | 17,940 | |
| 2028 | 11,880 | |
| $ | 81,826 |
NOTE 3 – RELATED PARTY TRANSACTIONS
During the year ended December 31, 2024, 2023, and 2022, the Company provided management and advertising services the Company's
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
Based on the 2025 City Publications Franchise Disclosure Document, it is not possible to determine the largest source of revenue for City Publications in 2024 from the provided excerpts. While the document includes financial statements and an independent auditor's report, it does not break down revenue sources in a way that identifies the largest contributor. The excerpts do mention revenue from management and advertising services provided to an affiliate, HHCI, amounting to $300,827 in 2024, but this does not represent the overall largest revenue source for the company.
To gain a clear understanding of City Publications' revenue streams, a prospective franchisee should carefully review the complete audited financial statements within the FDD. This includes scrutinizing the statement of operations (income statement) and any accompanying notes that detail revenue recognition. Look for line items that specify different types of revenue, such as franchise fees, royalties, advertising revenue, or service fees.
Specifically, a potential franchisee should ask City Publications for a detailed breakdown of revenue sources. This inquiry should cover not only the categories of revenue but also the specific amounts and percentages each category contributed to the total revenue in 2024. Understanding the composition of City Publications' revenue is crucial for assessing the financial stability and potential profitability of the franchise system.