What was the amount of Dryject's management fees in 2024?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
ance shall be termed out in monthly payments of principal and interest and is due to expire in August 2033. The line of credit balance is reflected on the books of DryJect Inc. Acquisition Corporation since the proceeds are deposited directly into the Corporation and used for their expenses.
- Note 7 Transactions with Related Parties For the year ended December 31, the Company incurred managemen
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, the company incurred management fees of $745,000 in 2024. These fees were paid to DryJect Inc. Acquisition Corporation, an entity with a common owner. In the previous year, 2023, Dryject incurred management fees of $710,000 to the same corporation.
Additionally, at the end of 2024, Dryject had an account payable of $24,541 to DryJect Inc. Acquisition Corporation, which is lower than the $95,314 payable at the end of 2023. This account payable represents outstanding amounts owed to the related corporation.
This related-party transaction is important for prospective franchisees to understand, as it indicates a financial relationship between Dryject and another company owned by the same individual. While such arrangements are not inherently problematic, franchisees should ensure that the management fees are reasonable and do not negatively impact Dryject's financial stability or the services provided to franchisees. It would be prudent for a potential franchisee to inquire about the nature of the services provided by DryJect Inc. Acquisition Corporation in exchange for these management fees and to assess whether these fees are competitive with market rates.