What were the 2023 gross sales for the Crown Gold Exchange location in Ontario, CA?
Crown_Gold_Exchange Franchise · 2024 FDDAnswer from 2024 FDD Document
in California.
2023 Gross Sales Per Location:
| Location | Sales |
|---|---|
| Riverside, CA | $2,797,519.00 |
| Estimated Royalty Fee | $12,000 |
| Chino, CA | $2,851,632.00 |
| Estimated Royalty Fee | $12,000 |
| Redlands, CA | $2,969,156.00 |
| Estimated Royalty Fee | $12,000 |
| Rancho Santa Margarita, CA | $5,000,771 |
| Estimated Royalty Fee | $12,000 |
| Hemet, CA | $2,794,677 |
| Estimated Royalty Fee | $12,000 |
| Palm Desert, CA | $2,817,185 |
| Estimated Royalty Fee | $12,000 |
| Ontario, C |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 33–35)
What This Means (2024 FDD)
According to Crown Gold Exchange's 2024 Franchise Disclosure Document, the gross sales for the Ontario, CA location in 2023 were $2,334,860. This data is based on the financial performance of seven company-owned outlets during the period from January 1, 2023, to December 31, 2023. The Ontario, CA location opened in June 2011. These figures represent historic financial performance and are not projections of future performance. The FDD also mentions an estimated royalty fee of $12,000 for the Ontario, CA location. Gross Sales are defined as the revenue derived from the sale of goods or services less sales tax, discounts, and returns.
It is important to note that these figures do not include any operating expenses associated with running the business, such as the cost of goods sold, labor, advertising, or rent. A prospective franchisee would need to account for these expenses to understand their potential net income. While the company-owned outlets do not pay royalties or marketing fees, the FDD includes an estimated royalty expenditure of $1,000 per month for each affiliate, which amounts to $12,000 annually.
The FDD emphasizes that individual results may vary, and there is no assurance that a franchisee will achieve the same level of sales or earnings as the company-owned outlets. Crown Gold Exchange also states that written substantiation of the information contained in Item 19 will be made available to prospective franchisees upon reasonable request. The FDD advises that if a prospective franchisee receives any financial performance information or projections of future income outside of Item 19, they should report it to the franchisor's management and the Federal Trade Commission.
Prospective franchisees should carefully consider these financial performance representations, taking into account their own market conditions, operating expenses, and business acumen. It is advisable to conduct thorough due diligence, including reviewing the written substantiation of the financial data and consulting with financial advisors, before making a decision to invest in a Crown Gold Exchange franchise.