What was the total amount of technology fees collected by Engineering For Kids in 2022?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
ILITIES AND MEMBER'S EQUITY | $ | 138,356 | $ | 218,424 | $ | 119,691 |
ENGINEERING FOR KIDS INTERNATIONAL, LLC STATEMENTS OF OPERATIONS YEARS ENDED DECEMBER 31, 2024, 2023 AND 2022
| 2024 | 2023 | 2022 | ||||
|---|---|---|---|---|---|---|
| REVENUE | ||||||
| Royalty fees | $ 235,010 | $ | 264,890 | $ | 233,947 | |
| Brand fees | 44,888 | 52,752 | 49,183 | |||
| Technology fee |
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to Engineering For Kids's 2025 Franchise Disclosure Document, the company collected a total of $42,200 in technology fees during the year 2022. This figure is part of the overall revenue that Engineering For Kids generates through its franchising operations. Other revenue streams include royalty fees, brand fees, franchise fees, and late fees. These various fees contribute to the total revenue of the company.
Technology fees likely cover the costs associated with providing and maintaining the technology infrastructure used by franchisees. This could include software, online platforms, and other digital tools necessary for running their Engineering For Kids franchise. For a prospective franchisee, understanding the breakdown of these fees is crucial for assessing the overall cost of operating the franchise and its potential profitability.
It's important to note that while technology fees represent a portion of the revenue for Engineering For Kids, they also reflect an expense for franchisees. Franchisees should evaluate the value they receive from the technology provided against the cost of these fees. Additionally, they should inquire about any potential increases in these fees over time, as this could impact their financial planning and profitability.
Analyzing the trend of technology fees over the years (2022-2024) alongside other revenue components provides insights into the financial health and growth trajectory of Engineering For Kids. Prospective franchisees should consider these figures in conjunction with other financial data in the FDD to make an informed decision about investing in the franchise.