How much did Learningrx spend on marketing fees in 2023?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
n ended in accordance with accounting principles generally | | | | | | accepted in the United States of America. | | | | |
LearningRx Franchise Corporation Statements of Income For the Years Ended September 30, 2024 and 2023
| 2024 | 2023 | |
|---|---|---|
| Income | ||
| Royalty fees | $ 1,192,359 | $ 1,192,063 |
| Initial franchise fees | 114,551 | 162,286 |
| Area development fees | 9,769 | 6,200 |
| Technology and training fees | 113,401 | 112,854 |
| Transfer fees | 24,500 | - |
| Renewal fees | 7,000 | 7,000 |
| Materials fees | 15,888 | 16,479 |
| Marketing fees | 73,535 | 17,418 |
| Interest and other income | 20,726 | 5,295 |
| Total Income | 1,571,729 | 1,519,595 |
| Expenses | ||
| Bad debt | 29,764 | - |
| Depreciation | 898 | 898 |
| Franchise system expenses | 615,225 | 564,949 |
| Marketing and development | 50,212 | 34,373 |
| Outside consultants | 104,033 | 105,341 |
| Overhead | 79,864 | 133,279 |
| Professional fees | 67,938 | 90,734 |
| Rent | 60,000 | 80,000 |
| Research and development | 24,000 |
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, the company's marketing fees expenses in 2023 totaled $17,418. This figure is part of the broader financial statement that details the income and expenses of Learningrx Franchise Corporation for that year.
For a prospective franchisee, understanding these figures is crucial for assessing the financial health and marketing investment strategy of Learningrx. The marketing fees reflect the franchisor's spending on activities designed to promote the brand and support franchisees in attracting customers. It's important to note that this is the franchisor's marketing expenditure, and franchisees may also be required to contribute to marketing funds or conduct local marketing activities.
The document also shows that in 2024, Learningrx's marketing fees were $73,535, significantly higher than in 2023. This could indicate a change in marketing strategy or an increased investment in promotional activities. A potential franchisee should inquire about the reasons for this increase and the expected benefits for franchisees.
Reviewing these figures in the context of overall income and expenses provides a more complete picture of Learningrx's financial performance. For example, the total income for Learningrx in 2023 was $1,519,595, with total expenses of $1,500,933. Understanding these financial details can help a prospective franchisee evaluate the potential return on investment and the financial stability of the Learningrx franchise system.