What was the net income for Expense Reduction Analysts in 2023?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
sha | 4 0 8 - 8 3 9 - 4 9 1 7 | | RD Property And Investments, LLC | 1 0 0 L o m a A v e n u e , # 2 0 4 | Raymond D. Jansma | 570-560-4641 | | *South LA & N. Orange | Long Beach, CA 90803 | Deborah Jansma | |
| 2024 | 2023 | |
|---|---|---|
| FRANCHISE INCOME | ||
| Franchise Fees | $ 1,012,220 | $ 602,489 |
| Royalty Fees | 5,083,065 | 3,819,736 |
| MAC Income | 872,008 | 671,456 |
| Management Software Fees | 196,365 | 142,233 |
| Other Income | ||
| 43,631 | 53,250 | |
| Total Franchise Income | 7,207,289 | 5,289,164 |
| GENERAL AND ADMINISTRATIVE EXPENSE | 6,366,469 | 4,715,491 |
| OTHER INCOME (EXPENSE) | ||
| Management Fee from Related Party | 681,230 | 672,103 |
| Other Expense | - | (1,698) |
| Other Income | (3,841) | 1,565 |
| Total Other Income | ||
| 677,389 | 671,970 | |
| NET INCOME BEFORE INCOME TAXES | 1,518,209 | 1,245,643 |
| PROVISION FOR INCOME TAXES | 352,935 | 93,917 |
| NET INCOM |
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, the net income attributable to Expense Reduction Analysts, Inc. for the year 2023 was $1,142,947. This figure represents the company's profit after all expenses, including the provision for income taxes and adjustments for noncontrolling interests, have been deducted from its total revenues.
For a prospective franchisee, this net income figure provides insight into the overall financial health and profitability of Expense Reduction Analysts. A strong net income suggests that the company is well-managed and has a sustainable business model. It indicates the franchisor's ability to support its franchisees and invest in the growth of the franchise system.
It's important to note that this is the net income for Expense Reduction Analysts, Inc. as a whole, and not the potential income for an individual franchisee. A prospective franchisee should review Item 19 of the FDD and speak with existing franchisees to get a better understanding of their potential earnings. Additionally, the franchisee should consider the general and administrative expenses of $4,715,491 in 2023, as this gives insight into the overhead costs of running the franchise.
Furthermore, the FDD also shows that the net income before income taxes for Expense Reduction Analysts in 2023 was $1,245,643, with a provision for income taxes of $93,917. Reviewing these figures in conjunction with the overall net income provides a more complete picture of the company's financial performance and tax obligations.