What was the 'Total revenues' for Even Hotels in the second revised year?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
y, no such opinion is expressed.
- x Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the consolidated financial statements.
- x Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governa
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, the total revenues for the second revised year, referring to the year ended December 31, 2022, were $3,032,048. This figure represents the sum of various revenue streams, including fee business, hotel operations, other income, and system fund and reimbursable revenues. These revenues reflect the overall financial performance of Even Hotels during that specific year.
For a prospective Even Hotels franchisee, understanding the total revenues is crucial as it provides insight into the brand's financial health and stability. It demonstrates the overall income generated by the franchise system, which can influence the resources available for franchisee support, marketing, and brand development. A higher total revenue generally indicates a stronger and more established franchise system, which can be an attractive factor for potential investors.
However, franchisees should also consider the components that make up the total revenue. Fee business, hotel operations, and other revenue streams each contribute differently to the overall figure. Analyzing these individual components can provide a more detailed understanding of where the revenue is coming from and how sustainable each source might be. Additionally, it's important to compare these figures with operating expenses to assess the profitability and efficiency of the Even Hotels franchise system.
It is also important to note that the FDD includes a note indicating the company earned 36.7% of its management fee revenues from its four largest hotel owner group customers in the year ended December 31, 2024. Prospective franchisees should investigate the impact of such concentrations on the long-term stability of the franchise.