What was the operating lease cost for Crave Cookies in 2023?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
ive Disclosures
The lease cost and other required information for the years ended December 31, 2023 and 2022, are:
| - | 2023 | - | 2022 | |
|---|---|---|---|---|
| Lease cost | ||||
| Operating lease cost | $ | 9,987 | $ | 8,042 |
| Total lease cost | $ | 9,987 | $ | 8,042 |
| Other information |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, the operating lease cost for the company in 2023 was $9,987. This figure represents the expense associated with leasing assets, primarily vehicles, necessary for the operation of the Crave Cookies franchise system. In comparison, the operating lease cost in 2022 was $8,042.
The FDD also provides additional context regarding the company's leasing activities. In 2023, Crave Cookies leased a vehicle that expired during the year, with monthly payments of $674. Additionally, they entered into a new vehicle lease in 2023 that extends through 2025, with monthly payments of $576. These details offer insight into the types of leases Crave Cookies engages in and the associated payment structures.
For a prospective franchisee, understanding these lease costs is crucial for financial planning. While these figures reflect the franchisor's costs, franchisees may encounter similar expenses when leasing their own store locations or equipment. Reviewing the franchisor's leasing arrangements and costs can provide a benchmark for franchisees as they negotiate their own leases. It's important to note that these costs can vary depending on the specific location, the type of asset being leased, and the terms of the lease agreement.