What was the net operating revenue for the Crave franchise in 2024?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Operating revenues | |||
| Franchise fee revenue | $ 475,000 | $ 972,500 | $ 305,000 |
| Royalties | 328,716 | 366,119 | 277,921 |
| Marketing fund | 46,960 | 52,303 | 39,703 |
| Other income | 15,481 | 7,352 | 5,828 |
| Net operating revenue | 866,156 | 1,398,273 | 628,453 |
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, the net operating revenue for 2024 was $866,156. This figure reflects the total revenue Crave Franchising, LLC generated from its franchising operations during that year. It's a key indicator of the brand's overall financial performance and can be useful for prospective franchisees in evaluating the potential profitability and stability of the franchise system.
In addition to net operating revenue, the FDD provides a breakdown of various revenue streams that contribute to this total. These include franchise fee revenue, which amounted to $475,000 in 2024, royalties totaling $328,716, marketing fund contributions of $46,960, and other income of $15,481. Understanding the composition of Crave's revenue can give franchisees insight into how the company generates income and the relative importance of different revenue sources.
Comparing the 2024 net operating revenue to previous years, as presented in the table, shows a fluctuating trend. In 2023, the net operating revenue was significantly higher at $1,398,273, while in 2022, it was lower at $628,453. This variance could be due to several factors, such as changes in the number of franchises, shifts in consumer demand, or adjustments in Crave's business strategies. Prospective franchisees should investigate these fluctuations to understand the potential risks and opportunities associated with investing in a Crave franchise.
Overall, the net operating revenue and its components provide valuable financial information for potential Crave franchisees. By analyzing these figures and comparing them to industry benchmarks, franchisees can make a more informed decision about whether to invest in the franchise system. It's important to consider these figures in conjunction with other factors, such as the initial investment costs, ongoing fees, and the level of support provided by the franchisor, to get a comprehensive understanding of the franchise opportunity.