What were the marketing expenses for Clean Your Dirty Face in 2023?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
06,990 | $ | 1,325,718 |
Statements of Income For the Years Ended December 31, 2024, 2023, and 2022
| 2024 2023 | 2022 | ||||
|---|---|---|---|---|---|
| Revenue | |||||
| Franchise fees | $ 475,000 | $ | 500,000 | $ 387,002 | |
| Royalties | 419,495 | 274,895 | 184,362 | ||
| Support services | 800 | 700 | 4,000 | ||
| Total Revenue | 895,295 | 775,595 | 575,364 | ||
| Operating Expenses | |||||
| Payroll and related expenses | 276,676 | 228,156 | 252,041 | ||
| Marketing | 35,432 | 58,666 | 70,733 | ||
| Professional fees | 26,705 | 24,013 | 41,866 | ||
| Office | 3,708 | 20 | 3,362 | ||
| Travel | 2,798 | 390 | 838 | ||
| Licenses and renewals | 1,455 | 900 | 1,200 | ||
| Insurance | - | 3,250 | - | ||
| Total Operating Expenses | 346,774 | 315,395 | 370,040 | ||
| Other Income | |||||
| Interest | 342 | 5,808 | - | ||
| Dividends | 56,637 | 2,298 | - | ||
| Insurance reimbursement | 2,313 | - | - |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, the company's marketing expenses in 2023 were $58,666. This figure reflects the costs Clean Your Dirty Face incurred for advertising and promotional activities during that year.
For a prospective franchisee, understanding the franchisor's marketing expenditure is crucial. It provides insight into the level of support Clean Your Dirty Face provides in terms of brand awareness and customer acquisition. A higher marketing expenditure by the franchisor could potentially translate to greater brand recognition and customer traffic for individual franchise locations.
However, franchisees should also inquire about the specific marketing strategies employed by Clean Your Dirty Face and how these strategies will benefit their individual locations. It is important to determine whether the marketing efforts are national, regional, or local, and how the franchisee can contribute to or leverage these initiatives. Understanding the allocation of marketing funds and the expected return on investment can help franchisees assess the value of the franchisor's marketing support.
It's also worth noting that advertising costs, referred to as "marketing" expenses in the income statements, are expensed as incurred. This means Clean Your Dirty Face recognizes these expenses in the period they occur, which is a standard accounting practice. Franchisees should consider this when reviewing the financial statements, as it provides a clear picture of the company's marketing investment in each reporting period.