What amount of continuing franchisee fees did Gold Star collect in 2022 from related parties?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
anchisees. Certain Company officers and employees serve as trustees of the advertising entity. The Company acts as a conduit in collecting advertising contributions from franchisees and disbursing the funds to the advertising entity. No income or expense is reflected on the Company's consolidated financial statements from this pass-through function. The Co
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, the company collected $157,959 in continuing franchisee fees during the year 2022. The FDD does not specify what portion of this amount was collected from related parties, but it does provide the total amount of continuing franchisee fees received.
For a prospective franchisee, this figure is relevant in understanding the revenue streams of Gold Star and the scale of continuing fees it generates from its franchise network. It's important to note that this number reflects the total amount from all franchisees, not just related parties.
To gain a clearer picture, a potential franchisee should inquire directly with Gold Star about the breakdown of continuing franchisee fees, specifically the amount collected from related parties versus independent franchisees. Understanding this distinction can provide insights into the financial relationships within the Gold Star franchise system.