What was the other general and administrative expenses for Ledgers in 2022?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
venue | 83,000 | 53,989 | 711,614 | | | | | | Total Non-Current Liabilities | 83,000 | 53,989 | 711,614 | | | | | | Total Liabilities | 978,945 | 910,154 | 1,257,740 | | | | | | Members' Equity: | | | | | | | | | Members' equity | 793,510 | 1,155,501 | 1,704,387 | | | | | | Total Members' Equity | 793,510 | 1,155,501 | 1,704,387 | | | | | | Total Liabilities and Members' Equity | $ 1,772,455 | $ 2,065,655 | $ 2,962,127 | | | | |
LOYALTY BUSINESS SERVICES, LLC (FORMERLY FIDE HOLDING, LLC) Statements of Operations
For the Years Ended December 31, 2024, 2023, and 2022
| 20 | 24 | - | 2023 | 2022 | ||
|---|---|---|---|---|---|---|
| Revenue: | ||||||
| Initial franchise fees | $ . | 30,336 | $ | 113,362 | $ | 114,383 |
| Royalty fees | í | 36,056 | 37,528 | 49,019 | ||
| Commission income | = | = | 21,000 | |||
| Other | 26,479 | - | 41,740 | 176,466 | ||
| Total revenue | 92,871 | 192,630 | 360,868 | |||
| Operating expenses: | ||||||
| Salaries, wages, taxes and benefits | 1 | 74,839 | 449,440 | 425,683 | ||
| Advertising and promotions | 2,750 | 9,910 | 19,784 | |||
| Corporate overhead expense | 1' | 75,805 | 109,334 | 58,370 | ||
| Franchise recruitment | 9 | 95,587 | 50,925 | 128,533 | ||
| Technology expense | 9,756 | 40,525 | 248,337 | |||
| Management fees | - | 15,000 | - | |||
| Professional fees | : | 84,627 | 13,327 | 61,406 | ||
| Bad debt expense | í | 35,657 | 294,324 | - | ||
| Other general and administrative e |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, the other general and administrative expenses for the company in 2022 were $21,766. This figure is part of the operating expenses listed in the financial statements. These expenses, along with other costs such as salaries, advertising, corporate overhead, franchise recruitment, technology, professional fees, and bad debt, contribute to the total operating expenses for that year.
Understanding the breakdown of these expenses is crucial for potential franchisees. It provides insight into where Ledgers is allocating its resources and what types of costs franchisees might expect to see reflected in their own operations. While franchisees will have their own specific expenses, understanding the franchisor's costs can offer a benchmark for evaluating their own financial performance.
It's important to note that these figures reflect Ledgers' corporate expenses and may not directly translate to the costs a franchisee will incur. However, reviewing these expenses can help a prospective franchisee formulate questions about cost management, efficiency, and potential areas for savings within their own franchise.
Prospective franchisees should consider these figures in conjunction with other financial data in the FDD, such as revenue, net income, and cash flow statements, to gain a comprehensive understanding of Ledgers' financial health and stability. This information can be used to assess the potential risks and rewards of investing in a Ledgers franchise.