What was the total revenue from My Salon Suite franchise sales in 2024?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
1,000 | 1,000 | | Additional paid-in capital | 363,125,409 | 297,598,135 | | Retained earnings | 79,627,020 | 69,958,770 | | Accumulated other comprehensive loss | (100,769) | - | | | | | | Total member's equity | 442,652,660 | 367,557,905 | | Total liabilities and member's equity | $ 564,392,813 | $ 475,872,065 |
Consolidated Statements of Operations
| For the years ended December 31, | 2024 | 2023 |
|---|---|---|
| Revenues | ||
| Franchise sales | $ 4,110,484 | $ 3,508,446 |
| Royalties | 69,773,999 | 49,940,078 |
| Rental income | 17,316,296 | 13,118,572 |
| Other revenue | 6,989,429 | 5,787,952 |
| Total revenues | 98,190,208 | 72,355,048 |
| Costs and expenses | ||
| Cost of goods gold | 2,349,027 | 2,310,482 |
| Selling, general, and administrative | 66,485,526 | 44,067,902 |
| Depreciation and amortization | 11,002,904 | 4,536,793 |
| Total costs and expenses | 79,837,457 | 50,915,177 |
| Operating Income | 18,352,751 | 21,439,871 |
| Other income/(expenses) | ||
| Interest income | 272,192 | 64 |
Source: Item 17 — (r) of the FDD and Section 13 of the Franchise Agreement disclose the existence of certain covenants restricting competition to which Franchisee must agree. The Commissioner has held that covenants restricting competition contrary to Section 9-08-06 of the North Dakota Century Code, without further disclosing that such covenants may be subject to this statue, are unfair, unjust, or inequitable within the intent of Section 51-19-09 of the North Dakota Franchise Investment Law. The FDD and the Franchise Agreement are amended accordingly to the extent required by law. (FDD pages 230–274)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, the total revenue from franchise sales in 2024 was $4,110,484. This figure represents the income My Salon Suite recognized from the sale of new franchises, resales, transfers, and renewals during that year. Franchise sales are a key revenue stream for My Salon Suite, reflecting the company's ability to attract new franchisees and maintain existing relationships.
For a prospective franchisee, this number indicates the strength and growth of the My Salon Suite brand. A higher franchise sales revenue generally suggests a healthy demand for the franchise opportunity, which can be a positive sign. However, it's important to consider this figure in conjunction with other financial metrics, such as royalty income and overall revenue, to get a comprehensive understanding of My Salon Suite's financial performance.
It is also useful to compare the 2024 franchise sales revenue to the 2023 figure of $3,508,446. This comparison reveals an increase in franchise sales revenue from 2023 to 2024, which could indicate growing interest in the My Salon Suite franchise system. This trend may be encouraging for potential franchisees as it suggests the brand is gaining momentum. However, prospective franchisees should investigate the reasons behind this increase to determine if it is sustainable and indicative of long-term growth.
In addition to franchise sales, My Salon Suite generates revenue from royalties, rental income, and other sources such as sales of equipment and supplies. Understanding the relative contribution of each revenue stream can provide valuable insights into the overall business model and financial stability of My Salon Suite. A prospective franchisee should carefully analyze these different revenue streams to assess the potential risks and rewards of investing in a My Salon Suite franchise.