What was the total revenue Engineering For Kids generated from franchise fees 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' 2025 Franchise Disclosure Document, the company generated revenue from several sources including royalty fees, brand fees, technology fees, franchise fees, and late fees. In 2022, Engineering For Kids' franchise fees totaled $51,500. This is part of the total revenue which amounted to $378,755 for that year.
Franchise fees typically represent the initial payments new franchisees make to Engineering For Kids for the right to operate under their brand and system. This revenue stream can fluctuate depending on the number of new franchises awarded in a given year. For example, in 2023, the franchise fees totaled $34,000, and in 2024, they were $90,250.
Prospective franchisees should note that while franchise fee revenue indicates the franchisor's ability to attract new franchisees, it does not directly correlate with the success or profitability of individual franchise units. It is essential to consider other factors, such as royalty fees and overall revenue trends, to assess the financial health and stability of Engineering For Kids. Additionally, it is important to investigate what services and support Engineering For Kids provides in exchange for these initial franchise fees.