What was the total amount of 'C. Franchise Royalty Fees' collected by Mr. Sandless during January-February 25?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
| Jan - Feb 25 | |
|---|---|
| Ordinary Income/Expense | |
| Income | |
| 1 Direct Income | |
| E. Other | |
| 4003 · Administration Fees | 7,697.12 |
| 4106 · Online Product Sales | 50.00 |
| Total E. Other | 7,747.12 |
| 4001 · A. Franchise Fees | 45,000.00 |
| 4006 · C. Franchise Royalty Fees | 125,579.55 |
| Total 1 Direct Income | 178,326.67 |
| 3 Pass Through Income | |
| Gmail email | 1,690.00 |
| 4004 · Advertising Fund | 14,984.03 |
| 4008 · Franchise Kits | 50,000.00 |
| 4011 · NTFN | 2,194.00 |
| Total 3 Pass Through Income | 68,868.03 |
| 4024 · Credit | 50.00 |
| Total Income | 247,244.70 |
| Cost of Goods Sold | |
| 5002 · Carpentry Supplies | 389.51 |
| 5003 · Franchise Kits | 8,597.80 |
| Total COGS | 8,987.31 |
| Gross Profit | 238,257.39 |
| Expense | |
| Merchant deposit fees | 1,845.07 |
| Payroll | 110,594.77 |
| 6039 · Payroll Expenses - Gross | 13,256.47 |
| Payroll - Other | |
| Total Payroll | 123,851.24 |
| Payroll taxes | |
| 6040 · FUTA | 230.25 |
| 6041 · PaUC | 2,374.87 |
| 6042 · S.S. & Medicare | 8,398.79 |
| Payroll taxes - Other | 3,023.01 |
| Total Payroll taxes | 14,026.92 |
| Returned Check | |
| Insuff. Funds | 658.51 |
| Total Returned Check | 658.51 |
| 6001 · Advertising | |
| 5005 · Printed Materials | 100.00 |
| 6003 · Franchise | 565.00 |
| 6004 · Google | 8,693.05 |
| 6005 · Microsoft | 16,354.19 |
| 6006 · NTFN | 4,522.89 |
| 6001 · Advertising - Other | 750.00 |
| Total 6001 · Advertising | 30,985.13 |
| 6012 · Automobile Expense | 1,696.03 |
| 6015 · Fuel | |
| Total 6012 · Automobile Expense | 1,696.03 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 41–42)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, the total amount of franchise royalty fees collected during January through February 2025 was $125,579.55. This figure represents a significant portion of Mr. Sandless's direct income during this period. Franchise royalty fees are ongoing payments that franchisees make to the franchisor, typically based on a percentage of their gross sales.
For a prospective Mr. Sandless franchisee, understanding the amount of royalty fees is crucial for assessing the profitability of the franchise. These fees directly impact the franchisee's revenue and must be factored into their financial projections. It is important to note that royalty fees are a recurring expense, and franchisees should carefully evaluate their ability to consistently meet these obligations.
In addition to royalty fees, the profit and loss statement also lists other income sources for Mr. Sandless, such as franchise fees, administration fees, online product sales, advertising fund contributions, and franchise kit sales. Analyzing all revenue streams and expenses provides a comprehensive view of the franchisor's financial performance and stability. Prospective franchisees should review the complete financial statements and consult with a financial advisor to fully understand the financial implications of investing in a Mr. Sandless franchise.