What were the total operating expenses for the Mr. Sandless franchise in 2023?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
4,122 and $82,500, respectively.
The Company periodically receives funds from its members' or related companies. These advances are due on demand and do not bear interest. As of December 31, 2023, and 2022, the amount due to a related party was $0 and $300, respectively.
6. PROPERTY AND EQUIPMENT
Property and equipment are stated at cost. Depreciation is computed using the straight-line method over the estimated useful life of the asset, which is five years. Expenditures for repairs and maintenance are charged to expense as incurred. Property and equipment consist of office equipment, computer equipment and automobiles. At December 31, 2023 and 2022 these assets had a book value of $64,898 and $7,290, respectively. Depreciation expense for the years ended December 31, 2022, and 2021 was $11,069 and $13,191, respectively.
7. BRAND DEVELOPMENT FEES
As per the franchise agreements, the Company collects marketing fees on a continuing basis. These funds are used to advertise the brand name on behalf
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 41–42)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, specific details regarding the total operating expenses for the Mr. Sandless franchise in 2023 are not available in the provided excerpts. However, the FDD includes information on certain expenses, such as brand development fees and depreciation expenses. For example, the company expensed $150,839 on brand name marketing in 2023. Depreciation expense for the year ended December 31, 2023, was $11,069.
While the excerpts provide figures for specific expense categories, they do not consolidate these into a single figure for total operating expenses. Understanding the total operating expenses is crucial for prospective franchisees to assess the overall financial health and profitability of the franchisor. This information would typically be found in the Statements of Operations within the financial statements.
Therefore, it is recommended that prospective Mr. Sandless franchisees carefully review the complete audited financial statements in the FDD and consult with the franchisor directly to obtain a comprehensive breakdown of all operating expenses incurred during 2023. This will allow for a more informed decision regarding the financial viability of investing in a Mr. Sandless franchise.