What was the operating income (loss) for Face Foundrie in 2023?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
30,499 | 2,013,938 | | Total liabilities | 5,427,477 | 4,151,843 | 2,959,606 | | Member's deficit | (382,792) | (833,308) | (559,155) | | Total liabilities and member's deficit | $ 5,044,685 | $ 3,318,535 | $ 2,400,451 | | | | | |
STATEMENTS OF OPERATIONS
For the Years Ended December 31, 2024, 2023 and 2022
| 2024 | 2023 | 2022 | ||||
|---|---|---|---|---|---|---|
| Operating revenues | ||||||
| Royalty fees | $ | 1,736,820 | $ | 1,067,442 | $ | 712,958 |
| Franchise fees | 533,096 | 651,100 | 347,280 | |||
| Advertising fees | 523,187 | 158,797 | 125,286 | |||
| Technology fees | 77,825 | 36,260 | 32,000 | |||
| Training & support fees | 4,000 | 15,441 | 14,300 | |||
| Other operating revenue | 225,601 | 58,971 | 8,664 | |||
| Total operating revenues | 3,100,529 | 1,988,011 | 1,240,488 | |||
| Operating expenses | ||||||
| Advertising expenses | 919,283 | 218,637 | 312,897 | |||
| Salaries and wages | 690,695 | 1,120,347 | 829,894 | |||
| General and administrative | 308,351 | 323,505 | 234,764 | |||
| Professional fees | 161,696 | 139,249 | 84,263 | |||
| Other operating expense | 167,490 | - | 189,164 | |||
| Total operating expenses |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 73)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the operating income for the company in 2023 was $186,273. This figure represents the earnings before considering other income sources, interest, and taxes. It is a key indicator of the company's profitability from its core business operations.
For a prospective franchisee, understanding the franchisor's operating income can provide insight into the financial health and stability of the franchise system. A positive operating income suggests that the franchisor is effectively managing its expenses and generating revenue from its primary activities, which can be a positive sign for potential franchisees.
However, it's important to note that this is just one financial metric to consider when evaluating a franchise opportunity. Potential franchisees should also review other financial statements, such as the balance sheet and cash flow statement, and conduct their own due diligence to assess the overall financial performance and risks associated with investing in a Face Foundrie franchise.