What was the interest expense for Goldfish Swim School for the year ended December 31, 2021?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
| Years Ended December 31, 2023, 2022, and 2021 | ||||
|---|---|---|---|---|
| 2023 | 2022 | 2021 | ||
| Net Revenue | ||||
| Revenue | $18,293,597 | $15,338,834 | $11,031,870 | |
| Initial franchise fees | 751,111 | 572,028 | 856,111 | |
| Brand fund fees | 6,322,770 | 5,238,689 | 3,737,149 | |
| Management fees (Note 6) | 154,904 | 137,293 | ||
| Other charges | 1,301,300 | 1,138,980 | 1,001,000 | |
| Total net revenue | 26,823,682 | 22,425,824 | 16,677,686 | |
| Operating Expenses | ||||
| 16,349,082 | 14,004,754 | 10,599,593 | ||
| Operating Income | 10,474,600 | 8,421,070 | 6,078,093 | |
| Nonoperating Income (Expense) | ||||
| Other income (Note 3) | ||||
| 60,857 | 23,585 | 732,964 | ||
| Interest expense | (13,267) | |||
| Total nonoperating income | 60,857 | 10,318 | 732,964 | |
| Consolidated Net Income | $10,535,457 | $8,431,388 | $6,811,057 |
Source: Item 23 — RECEIPTS (FDD pages 77–389)
What This Means (2025 FDD)
According to the 2025 FDD, Goldfish Swim School's interest expense for the year ending December 31, 2021, was $13,267. This figure is presented as a negative number, ($13,267), indicating an expense.
For a prospective franchisee, understanding the franchisor's interest expenses can provide insight into the company's financial health and how it manages its debt. While this specific figure reflects the franchisor's expense, franchisees should also consider their own potential interest expenses related to loans for startup costs, equipment, or working capital. These expenses can significantly impact a franchisee's profitability.
It's important to note that this interest expense is just one component of the overall financial picture. A potential franchisee should review the entire Item 23, which presents receipts, to understand the franchisor's revenue, operating expenses, and net income. This comprehensive view will help in assessing the financial stability and potential profitability of Goldfish Swim School.