What was the cost of goods sold for Dermani Medspa's Franchised Location 9?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
| Company Location 1 | Company Location 2 | Company Location 3 | Company Location 4 | Company Location 5 | |
|---|---|---|---|---|---|
| (Opened Since) | (Sept 2013) | (April 2014) | (April 2014) | (Sept 2015) | (April 2017) |
| Gross Revenue1 | |||||
| Retail Product Sales | $49,493 | $68,241 | $57,796 | $92,653 | $75,542 |
| Services Revenue | $1,269,346 | $1,821,457 | $1,084,216 | $2,224,396 | $1,861,911 |
| Total Gross Revenue | $1,318,839 | $1,889,698 | $1,142,012 | $2,317,049 | $1,937,453 |
| Disclosed Expenses2 | |||||
| Cost of Goods Sold3 | $513,850 | $650,076 | $371,760 | $897,103 | $635,977 |
| Payroll Expenses4 | $488,274 | $628,474 | $469,474 | $789,900 | $711,427 |
| Rent Expense5 | $124,780 | $126,075 | $67,962 | $56,886 | $101,877 |
| Spa Supplies6 | $102,929 | $131,171 | $107,920 | $137,642 | $158,280 |
| Franchised | Franchised | Franchised | Franchised | Franchised | |
| Location 8 | Location 9 | Location 10 | Location 11 | Location 12 | |
| (Opened Since) | (Oct 2022) (Nov 2022) | (May 2023) | (Sept 2023) | (Dec 2023) | |
| Gross Revenue1 | $458,061.99 | $269,832.63 | $388,550.78 | $319,948.57 | |
| $713,121 | |||||
| $674,609 | |||||
| D |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 58–61)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, Franchised Location 9 had a cost of goods sold of $175,987 during the measurement period of the 2024 calendar year. This figure represents the total amount of products and goods, including injectables and skincare products, that were sold or consumed by the location during that period. It's important to note that costs or expenses for items not used, offered, or sold at franchised Dermani Medspa locations were excluded from this calculation.
For a prospective franchisee, understanding the cost of goods sold is crucial for assessing the profitability of a Dermani Medspa franchise. This expense, along with other disclosed expenses like rent and payroll, contributes significantly to the overall financial performance of the location. By comparing the cost of goods sold to the gross revenue, a franchisee can begin to estimate the potential profit margins.
It is important to remember that the financial performance representations are based on historical data from existing locations, and individual results may vary. The FDD explicitly states that there is no assurance that a new franchisee will earn as much as the locations presented. Therefore, a prospective franchisee should carefully review all the information in Item 19, including the notes and definitions, and conduct their own due diligence to determine the potential financial performance of their specific Dermani Medspa franchise.