What was Gold Star's total Selling, General and Administrative Expenses in 2023?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
NOTE 16 - PROFIT SHARING EXPENSE
Profit sharing / 401(k) expense was $64,584, $73,246, and $65,823 for the years ended December 31, 2024, 2023, and 2022, respectively.
NOTE 17 - ADVERTISING EXPENSE
Total advertising expense reflected in the Company's consolidated financial statements for 2024, 2023, and 2022 was $886,959, $921,454, and $996,584, respectively.
NOTE 18 - RESEARCH AND DEVELOPMENT EXPENSE
The Company incurred research and development expenses of $35,511, $37,484, and $41,997 for 2024, 2023, and 2022, respectively.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, a consolidated statement of selling, general, and administrative expenses is not available. However, Note 17 details the advertising expenses for 2023 as $921,454. Note 18 details the research and development expenses for 2023 as $37,484. Note 16 details the profit sharing/401(k) expense for 2023 as $73,246. These figures offer insight into specific components of Gold Star's operational spending.
Because the FDD does not provide the total selling, general, and administrative expenses, prospective franchisees should inquire directly with Gold Star's management about these expenses. Understanding the components of these expenses can help a franchisee better understand where their franchise fees are allocated.
Understanding these expenses is crucial for potential franchisees to assess the financial health and operational efficiency of Gold Star. While the advertising, research and development, and profit sharing expenses are listed, a comprehensive view of all selling, general, and administrative costs would provide a clearer picture of the overall cost structure and profitability.