What was the total revenue for 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, franchise sales revenue for the year 2024 totaled $4,110,484. This figure represents the income My Salon Suite generated specifically from the sale of new franchises, resale transfer fees, and renewal franchise fees during that year. This is an important metric for potential franchisees to consider, as it provides insight into the demand for My Salon Suite franchises and the company's ability to attract new franchisees.
In addition to franchise sales, My Salon Suite generates revenue from other sources, including royalties, rental income, and other revenue streams such as sales of equipment, services, supplies, and inventory. In 2024, royalties amounted to $69,773,999, rental income was $17,316,296, and other revenue totaled $6,989,429. These figures, combined with franchise sales, contributed to a total revenue of $98,190,208 for My Salon Suite in 2024.
For a prospective franchisee, understanding the different revenue streams of My Salon Suite can be beneficial. It demonstrates the various ways the company generates income and supports its franchisees. The substantial royalty income suggests that existing franchisees are generating significant sales, which is a positive indicator for the brand's overall performance. The rental income reflects the revenue generated from subleasing compartmentalized suites to beauty professionals, a key component of the My Salon Suite business model.
It's important to note that while franchise sales revenue provides insight into the company's growth, it's just one aspect of the overall financial picture. Prospective franchisees should also consider the company's expenses, profitability, and other financial metrics to gain a comprehensive understanding of its financial health. Reviewing the trends in revenue streams over multiple years, as presented in the FDD, can offer a more complete view of My Salon Suite's financial performance and stability.