What were the Itan membership and technology service fees in 2024?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | |
|---|---|---|
| ASSETS | ||
| ASSETS | ||
| CURRENT ASSETS | ||
| Cash | $ 12,947 | $ 349,230 |
| Accounts receivable | 126,374 | 96,871 |
| Due from related parties (note 5) | 1,700,000 | 1,550,230 |
| Prepaid expenses | 13,426 | 9,196 |
| Prepaid taxes | 137,975 | - |
| Deferred tax asset (note 9) | 40,619 | 37,027 |
| 2,031,341 | 2,042,554 | |
| PROPERTY AND EQUIPMENT (note 3) | 70,353 | 88,280 |
| The Entry Alb Equilibria (note 3) | ||
| TOTAL ASSETS | 2,101,694 | 2,130,834 |
| LIABILITIES AND STOCKHOLDER'S EQUITY | ||
| CURRENT LIABILITIES | ||
| Accounts payable | 16,029 | 3,765 |
| Accrued liabilities (note 7) | 63,191 | 47,595 |
| Accrued taxes | 訓 | 60,182 |
| Contract liabilities (note 8) | 103,500 | 115,000 |
| Deferred tax liability (note 9) | 49,948 | 39,617 |
| Note payable - current portion (note 10) | 17,413 | 15,038 |
| 250,081 | 281,197 | |
| LONG TERM LIABILITIES | ||
| Note payable (note 10) | 39,561 | 56 |
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the total membership and technology service fees collected from all franchisees in 2024 amounted to $32,676. These fees encompass various charges, including salon transfer fees, salon renewal fees, technology fees, SharePort license fees, LMS platform fees, and fees related to electronic funds transfers.
For a prospective Itan franchisee, this means that a portion of their ongoing costs will contribute to this aggregate amount. The specific technology fees are outlined as $30 per salon per month, EFT Services at $10 per salon per month, Share Port License Fees ranging from $4 to $20 per user per month, and LMS Platform Fees at $50 per salon per month. Additionally, there is a Franchise Renewal Fee of $1,000 due at the time of renewal.
It's important to note that the $32,676 represents the total collected from all franchisees, not an individual franchisee's expense. A new franchisee should carefully consider the breakdown of these fees and how they apply to their specific salon's usage and operations to accurately forecast their monthly and annual expenses. Understanding these fees is crucial for assessing the overall profitability and financial viability of an Itan franchise.