factual

How is the '1st Decile' range defined for Expense Reduction Analysts franchisees?

Expense_Reduction_Analysts Franchise · 2025 FDD

Answer from 2025 FDD Document

Number of Full-Time Franchisees Range1 Average Annual Secured Revenue Median Annual Secured Revenue Highest Annual Secured Revenue in the range Lowest Annual Secured Revenue in the range # of Full- Time Franchisees achieving the average % of all Full-Time Franchisees achieving the average # of Full- Time Franchisee s in range achieving the average % of all Full-Time Franchisees in range achieving the average
7 1st Decile $1,106,305 $999,312 $2,273,863 $704,970 3 5% 3 43%

Notes:

    1. The "1st Decile" range refers to the top 10% of the franchisee count, ranked by Net Cumulative Receipts, the "2nd Decile" range refers to the next 10% of the franchisee count, and so on.

This is a historic financial performance representation of active Regional Franchisees that have been operating a franchise substantially similar to the type offered in this Disclosure Document for at least 18 months. The franchise information contained herein does not include data for (i) area franchises; (ii) company-owned and company-affiliated outlets; (iii) and those terminated, reacquired, non-renewal, or mutually ceased operations for other reasons. Where "other reasons" are typically agreed-to for medical, special circumstances, death, or other similar reasons; and (iv) the 30 Regional Franchisees that began operating in 2024.

Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 47–52)

What This Means (2025 FDD)

According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, the '1st Decile' range refers to the top 10% of Expense Reduction Analysts franchisees based on Net Cumulative Receipts. This ranking is derived from the financial performance of 121 regional franchisees during the period from January 1, 2024, to December 31, 2024. The financial data includes only those franchisees who had been operating a franchise substantially similar to the one offered in the Disclosure Document for at least 18 months and had completed the Initial Special Marketing Program (ISMP) before the start of the 2023 fiscal year.

For a prospective Expense Reduction Analysts franchisee, understanding the decile rankings provides insight into the potential revenue generation within the franchise system. The 1st Decile represents the highest-performing franchisees, offering a benchmark for potential success. The 1st Decile of Expense Reduction Analysts franchisees, consisting of 7 franchisees, had an average annual secured revenue of $1,106,305, a median annual secured revenue of $999,312, with the highest annual secured revenue reaching $2,273,863 and the lowest at $704,970.

It's important to note that only 3 out of the 7 franchisees in the 1st Decile achieved the average revenue, representing 43% of that range and only 5% of all full-time franchisees. This highlights that while the 1st Decile represents top performers, individual results can vary significantly. Expense Reduction Analysts also specifies that the financial performance data does not include figures from area franchises, company-owned outlets, or franchises that were terminated or began operating in 2024. Prospective franchisees should also be aware that these figures are historical and that individual results may differ, with no assurance of earning as much.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.