factual

What were the capital expenditures for My Salon Suite in 2023?

My_Salon_Suite Franchise · 2025 FDD

Answer from 2025 FDD Document

| | | | | | | | 31, | | | | | | | | 2023 | | | | | | |

Consolidated Statements of Cash Flows

For the years ended December 31, 2023 2022
Operating
activities
Net income $ 12,569,087 $ 17,655,295
Adjustments
to
reconcile
net
income
to
net
cash
provided by operating activities:
Bad 429,277 58,670
debt
expense
Depreciation 4,502,473 4,043,757
&
amortization
Share-based 1,144,951 955,911
compensation
expense
Gain - (253,092)
on
sale
of
assets
Capital 323,146 -
Asset
Impairment
Deferred 182,406 (526,188)
income
taxes
Amortization 4,322,294 3,957,006
of
right-of-use
asset
Changes in operating assets and
liabilities,
net
of
businesses
acquired:
Accounts (715,354) (1,222,781)
and
notes

Source: Item 6 — Other Intangibles and Goodwill (FDD pages 274–314)

What This Means (2025 FDD)

According to My Salon Suite's 2025 Franchise Disclosure Document, the company's capital expenditures for the year ending December 31, 2023, totaled $2,715,270. This figure reflects the investments My Salon Suite made in its business operations during that year. Capital expenditures are funds used by a company to acquire or upgrade physical assets such as property, buildings, or equipment.

For a prospective franchisee, understanding the franchisor's capital expenditure trends can offer insights into the company's investment strategies and growth patterns. It demonstrates My Salon Suite's commitment to maintaining and expanding its infrastructure. This can be a positive sign, indicating that the franchisor is reinvesting in the business, which could benefit franchisees through improved systems, technology, or facilities.

However, it is important to note that these expenditures reflect the investments made by the company itself, not the initial investment required by a new franchisee to open a My Salon Suite location. Franchisees should refer to other sections of the FDD, such as Item 7, to understand their own expected initial investment, which includes costs like build-out, equipment, and initial franchise fees. Reviewing the company's financial statements and capital expenditure history can still provide valuable context for assessing the overall health and growth trajectory of the My Salon Suite franchise system.

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.