How is 'Average Weekly Revenue' calculated for Crawl Space Ninja?
Crawl_Space_Ninja Franchise · 2024 FDDAnswer from 2024 FDD Document
- C. Definitions:
- (i) "Total Revenue" means the total reported revenues and receipts from the sale of all products and services sold through the Reporting Franchised Outlets, the Reporting Multi-
Territory Franchised Outlets, and Affiliate-Owned Outlet (each a "Reporting Outlet" and collectively, the "Reporting Outlets"), respectively. Total Revenue does not include sales tax, nor does it include the value of any gift cards or other rebates. In Table 1(C) above, "Average Weekly Revenue" means Total Revenue as defined above divided by seven (7).
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 41–49)
What This Means (2024 FDD)
According to the 2024 Crawl Space Ninja FDD, Average Weekly Revenue is calculated by dividing the Total Revenue by seven. Total Revenue includes all revenues and receipts from the sale of products and services sold through Reporting Franchised Outlets, Reporting Multi-Territory Franchised Outlets, and the Affiliate-Owned Outlet. Total Revenue does not include sales tax or the value of gift cards or rebates.
This calculation provides a standardized way to compare the weekly performance of different Crawl Space Ninja locations, regardless of their size or territory. By excluding sales tax, gift cards, and rebates, the franchisor ensures that the revenue figures reflect the actual sales generated by each outlet. This metric can be useful for prospective franchisees in estimating potential revenue and comparing it against their own financial goals and projections.
It is important to note that the FDD explicitly states that individual results may differ, and there is no assurance that a franchisee will earn as much as the reported averages. The financial performance representations are based on past performance and should not be considered a guarantee of future success. A prospective franchisee should carefully review the Item 19 disclosures in the FDD and conduct their own independent research and analysis before making any investment decisions.