What were the Itan professional fees in 2024?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
le | 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 | 56,974 | | TOTAL LIABILITIES | 289,642 | 338,171 | | STOCKHOLDER'S EQUITY | | | | Common stock (note 11) | 50,000 | 50,000 | | Additional paid in capital | 38,000 | 38,000 | | Accumulated earnings | 1,724,052 | 1,704,663 | | | 1,812,052 | 1,792,663 | | TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY | $ 2,101,694 | $ 2,130,834 |
| 2024 | · | 2023 | ||
|---|---|---|---|---|
| SALES | ||||
| Royalties | $ | 863,175 | $ | 746,395 |
| Membership and technology service fees | 32,676 | 22,788 | ||
| Franchise renewal fee | 1,000 | = | ||
| Area development agreement fees (note 8) | _ | 11,500 908,351 | 769,183 | |
| OPERATING EXPENSES | ||||
| Auto | 14,241 | 8,000 | ||
| Credit loss | 284 | = | ||
| Depreciation | 17,927 | 443 | ||
| Dues and subscriptions | 8,507 | 6,945 | ||
| Insurance | 72,234 | 85,562 | ||
| Office | 98,068 | 14,371 | ||
| Outside services | 83,583 | 51,677 | ||
| Payroll costs | 392,761 |
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the professional fees for 2024 were $75,850. This figure represents the expenses Itan incurred for services provided by professionals such as accountants, lawyers, or consultants. For a prospective franchisee, understanding these expenses can provide insight into the operational costs Itan faces.
Reviewing these professional fees can help a potential franchisee understand the scale and complexity of Itan's operations. Higher professional fees might indicate more complex legal, accounting, or consulting needs, which could be due to Itan's growth stage, regulatory environment, or strategic initiatives. Lower fees might suggest a more streamlined operation or less reliance on external expertise.
It is important to note that these are Itan's expenses, not necessarily those a franchisee would incur. However, understanding Itan's costs can provide a benchmark for evaluating the types of professional services a franchisee might need and their potential costs. A prospective franchisee should inquire about the specific types of professional services Itan utilizes and whether franchisees are expected to engage similar services.