table_specific

What were the members' contributions/(distributions) for Mr. Sandless in the year ended December 31, 2024?

Mr_Sandless Franchise · 2025 FDD

Answer from 2025 FDD Document

0,000 | | Members' (Deficit) | | (163,069) | | (195,969) | | Total Liabilities and Members' (Deficit) | $ | 132,206 | $ | 239,275 |

MR. SANDLESS FRANCHISE, LLC STATEMENTS OF OPERATIONS AND MEMBERS' (DEFICIT)

YEARS ENDED DECEMBER 31
2024 2023
Revenues
Royalties $ 933,381 $ 817,140
Franchise fees 254,000 298,947
Brand development fees 127,213 120,206
Materials 74,278 204,162
Other income 92,256 117,207
1,481,128 1,557,662
Operating expenses 1,381,930 1,582,486
Net Incom

Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 41–42)

What This Means (2025 FDD)

According to Mr. Sandless's 2025 Franchise Disclosure Document, the members' contributions/(distributions) for the year ended December 31, 2024, were a deficit of $66,298. In the prior year, ending December 31, 2023, the members' contributions/(distributions) were $31,911. This line item reflects the net change in the equity or capital invested in the Mr. Sandless business by its members (owners or shareholders). A positive number indicates contributions made by the members into the business, while a negative number (as in 2024) indicates distributions taken out by the members.

For a prospective franchisee, this information provides insight into how the owners are managing the company's finances. A distribution indicates that the members are taking profits out of the company, which could be a sign of financial health. However, consistent distributions without sufficient reinvestment could potentially weaken the company's ability to grow or handle unexpected expenses. Conversely, contributions from members might suggest that the company needs additional capital to sustain operations or expansion.

In Mr. Sandless's case, the shift from a contribution of $31,911 in 2023 to a distribution deficit of $66,298 in 2024 could signal a change in the company's financial strategy or performance. It is important to note that this is just one data point, and a comprehensive understanding requires analyzing other financial statement line items, such as revenue, expenses, and net income. A potential franchisee should investigate the reasons behind this change by asking Mr. Sandless for more details and context.

Ultimately, reviewing these figures helps potential franchisees assess the financial stability and management practices of Mr. Sandless. It is advisable to consult with a financial advisor to fully understand the implications of these numbers and how they might affect the franchise's future performance.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.