What was the reported total lease cost for a Pump It Up franchise in 2023?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| The following table provides quantitative information concerning the Company’s leases. | ||
|---|---|---|
| 2023 | 2022 | |
| Operating Lease Cost | $139,874 | $141,470 |
| Variable Lease Cost | 66,212 | 63,485 |
| Total Lease Cost | $206,086 | $204,955 |
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, the total lease cost for the company in 2023 was $206,086. This figure represents the sum of operating lease costs ($139,874) and variable lease costs ($66,212) for that year.
This information is relevant to potential franchisees as it provides insight into the lease-related expenses that Pump It Up, as the franchisor, incurs. While this isn't the direct cost a franchisee would pay, it can offer a comparative benchmark. Franchisees need to cover their own lease costs for their specific locations, which can vary widely based on factors like location, size, and local market conditions.
Understanding the franchisor's lease expenses can help a prospective franchisee gauge the overall financial health and leasing strategies of Pump It Up. However, franchisees should focus on creating detailed financial projections that accurately reflect their anticipated local lease costs, taking into account the specific terms and conditions of their lease agreements. Consulting with a financial advisor is advisable to fully understand these costs.