What was the net income for Fitstop in November 2022?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
subsequent events that would have required further adjustment or disclosure in the financial statements. Subsequent events have been evaluated through. May 23, 2024, which is the date the financial statements were available to be issued.
| PROFIT & LOSS | Nov 2022 | 2022/2023 (YTD) |
|---|---|---|
| Cost of Sales | ||
| Purchase of Apparel/Accessories/Supps | $0 | $326 |
| Gross Profit | $0 | ($326) |
| Expenses | ||
| Flights and Accommodation | $6,872 | $33,292 |
| Travel Expenses | $6,348 | $15,556 |
| Advertising | $0 | $750 |
| Bank Fees & Charges | $91 | $110 |
| Automobile Expense | $2,000 | $2,000 |
| Employee - Salaries and Wage | $16,667 | $38,718 |
| Management Fees | $35,328 | $184,245 |
| Legal Expenses | $0 | $10,000 |
| Consulting Fees | $22,120 | $118,930 |
| IT Software and expenses | $363 | $749 |
| Office Expenses | $1,397 | $2,18 |
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, the net income for November 2022 was a loss of $94,141. This figure is derived from the profit and loss statement included in the FDD.
Specifically, the document details various income and expense items for that month. These include costs of sales, such as $0 for the purchase of apparel/accessories/supplements, resulting in a gross profit of $0. Expenses included $6,872 for flights and accommodation, $6,348 for travel expenses, $0 for advertising, $91 for bank fees and charges, $2,000 for automobile expenses, $16,667 for employee salaries and wages, $35,328 for management fees, $0 for legal expenses, $22,120 for consulting fees, $363 for IT software and expenses, $1,397 for office expenses, $470 for benefits expenses, and $1,211 for unrealized currency gain/loss. The total expenses amounted to $92,866, resulting in an operating profit of ($92,866).
After accounting for payroll tax expenses of $1,275, the earnings after tax and net income both resulted in a loss of $94,141 for November 2022. A prospective franchisee should consider these figures in the context of the overall financial health of Fitstop and how these expenses and revenues might evolve as the franchise network grows.