What was the gross profit reported for the company-owned Fly To Fit outlet in 2023?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
| 2023 | |
|---|---|
| Income | |
| Sales | 221,095.66 |
| Total Income | 221,095.66 |
| Cost of Goods Sold | |
| Cost of Goods Sold | 311.21 |
| Total Cost of Goods Sold | 311.21 |
| Gross Profit | 220,784.45 |
| Operating Expenses | |
| Advertising | 4,213.66 |
| Bank Service Charges | 8,221.10 |
| Business License & Fees | 643.68 |
| Dues & Subscriptions | 2,403.03 |
| Insurance | 3,119.87 |
| Meals & Entertainment | 102.20 |
| Other Expense | 42,150.27 |
| Payroll Tax Expense | 10,607.43 |
| Professional Fees | 252.70 |
| Wages & Salaries | 32,883.49 |
| Total Operating Expenses | 104,597.43 |
| Operating Income | 116,187.02 |
| Other Income / (Expense) | |
| Other Income | 416.15 |
| Vendor Refunds | 1,784.58 |
| Total Other Income / (Expense) | 2,200.73 |
| Net Income | 118,387.75 |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 39–41)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, the company-owned outlet's financial performance from January 1, 2023, to December 31, 2023, shows a gross profit of $220,784.45. This figure represents the total income of $221,095.66 less the total cost of goods sold, which was $311.21. This information is part of the franchisor's financial performance representations, which offer potential franchisees insight into the brand's financial results.
It's important to note that these results are from a single company-owned location and may not be representative of future franchise-owned locations. The FDD explicitly states that individual results may vary, and there is no guarantee that a franchisee will achieve similar sales or earnings. Fly To Fit also highlights that they do not make any representations about a franchisee's future financial performance, except as included in Item 19 of the FDD.
Prospective franchisees should carefully consider these financial performance representations, keeping in mind that they are based on historical data from a single outlet. Fly To Fit encourages potential franchisees to request written substantiation of the information provided in Item 19. Additionally, if a prospective franchisee receives any financial performance information outside of Item 19, they are advised to report it to Fly To Fit's management, the Federal Trade Commission, and the appropriate state regulatory agencies.