What were the franchise fees for City Wide Franchise Inc. (USA) company in 2024?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
| City Wide Franchise Company, Inc. | City Wide Franchise of Canada, Inc. | City Wide Franchise International, Inc. | Eliminating Entries | 2024 Consolidated | |
|---|---|---|---|---|---|
| LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) | |||||
| Current Liabilities | |||||
| Deferred franchise revenue, current | 705,734 | $ 35,190 | - | - | $ 740,924 |
| Long-term Liabilities | 976,357 | - | - | - | 976,357 |
| Deferred franchise revenue, net of current portion | 3,471,058 | 245,475 | - | - | 3,716,533 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 65)
What This Means (2025 FDD)
The 2025 Franchise Disclosure Document for City Wide provides financial statements that include deferred franchise revenue, which could be related to franchise fees. The balance sheet shows deferred franchise revenue, current, of $705,734 for City Wide Franchise Company, Inc. as of December 31, 2024. Additionally, the balance sheet lists deferred franchise revenue, net of current portion, as $3,471,058 for the same company as of the same date. These figures represent revenue that City Wide has not yet recognized but has already received. These deferred revenues are associated with City Wide Franchise Company, Inc., which is the U.S. based company.
These deferred revenue figures do not directly specify the initial franchise fee amount that City Wide charged to new franchisees in 2024. Instead, they represent the cumulative amount of franchise fees that have not yet been recognized as earned revenue under accounting principles. The initial franchise fee is typically a one-time payment made by the franchisee to City Wide upon signing the franchise agreement.
To determine the exact initial franchise fee for City Wide in 2024, a prospective franchisee should review Item 5 of the 2025 FDD, which outlines the fees a franchisee must pay. Further, they should ask City Wide directly for a breakdown of how much initial franchise fees were collected in 2024 and how that revenue is recognized over time.