In what year did the Deka Lash system experience the largest net increase in total outlets?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
| Outlet Type | Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | 2021 | 90 | 103 | +13 |
| 2022 | 103 | 123 | +20 | |
| 2023 | 123 | 130 | +7 | |
| Company-Owned* | 2021 | 6 | 5 | -1 |
| 2022 | 5 | 6 | +1 | |
| 2023 | 6 | 0 | -6 | |
| Total Outlets | 2021 | 96 | 108 | +12 |
| 2022 | 108 | 129 | +21 | |
| 2023 | 129 | 130 | +1 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 57–62)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, the year with the largest net increase in total outlets was 2022. The total number of Deka Lash outlets increased from 108 at the start of the year to 129 by the end of 2022, representing a net change of +21.
This information is crucial for potential franchisees as it provides insight into the growth trajectory of the Deka Lash franchise system. A significant net increase in outlets can indicate a healthy and expanding franchise, which may be more attractive to investors. However, it's also important to consider the types of outlets contributing to this growth, whether franchised or company-owned, as this can impact the overall stability and success of the franchise.
While a positive net change suggests growth, prospective franchisees should also investigate the reasons behind outlet changes. Factors such as terminations or closures can provide a more nuanced understanding of the franchise's performance. Comparing the net change in outlets across multiple years, as presented in the table, allows for a more comprehensive assessment of the franchise's long-term growth and stability. This information helps potential franchisees evaluate the risks and opportunities associated with investing in a Deka Lash franchise.