What was the reported interest cost for Healthsource Chiropractic in 2023?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
ations payable by franchisees to HealthSource Chiropractic, LLC. are computed at two percent (2%) of sales. Ad funds fees are payable monthly and to be used for advertising, promotional, marketing and related administrative expenses.
Technology Fund Revenue
Technology Fund payment obligations payable by franchisees to HealthSource Chiropractic, LLC. are computed at $199 per month. Technology fund fees are payable monthly.
NOTE N - FRANCHISE COMMITMENTS AND OBLIGATIONS:
Under the terms of the Company's standard chiropractic franchise agreement, HealthSource Chiropractic, LLC. offers a potential franchisee a specific territory and then provides training, operating manuals, software, and marketing materials.
NOTE O - RELATED PARTY LEASES:
The Company had a lease with SCZ Enterprises, Ltd. (a related party) for a vehicle. The company is responsible for all costs of operation. The lease was entered into in February 2021 and called for monthly payments of $700 and expired May 2023. This lease was renewed and expires December 31, 2025. Lease payments totaled $8,400 for 2024, $8,400 for 2023 and $8,400 for 2022.
The Company conducted its operations in an office facility, owned by a related party (SCZ Enterprises, Ltd.), and located in Avon, Ohio. SCZ Enterprises LTD is beneficially owned by the majority member of HealthSource Chiropractic, LLC.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
Based on the 2025 Healthsource Chiropractic Franchise Disclosure Document, specific details regarding the interest costs incurred by Healthsource Chiropractic in 2023 are not provided.
However, the document does mention related party leases and transactions, such as a vehicle lease with SCZ Enterprises, Ltd., with monthly payments of $700, totaling $8,400 annually for 2022, 2023 and 2024. Additionally, the company's operations were conducted in an office facility owned by SCZ Enterprises, Ltd., with rent payments totaling $99,600 in 2022 and 2023, and $85,000 in 2024. These leases are categorized as operating leases from a related party.
To gain a comprehensive understanding of Healthsource Chiropractic's financial performance, prospective franchisees should seek clarification from the franchisor regarding interest expenses, including details on any loans, interest rates, and related costs. This information is crucial for evaluating the overall financial health and stability of the company.