For Pump It Up, what was the total operating lease cost in 2023?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| 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 company's operating lease cost in 2023 was $139,874. This figure represents the cost associated with leasing property or equipment necessary for business operations. It's important to note that this is just one component of the overall lease expenses.
In addition to the operating lease cost, Pump It Up also incurred variable lease costs, which amounted to $66,212 in 2023. When combined, the total lease cost for Pump It Up in 2023 reached $206,086. These figures provide a comprehensive view of the company's leasing obligations and associated expenses for that year.
Prospective franchisees should consider these lease-related costs when evaluating the financial viability of a Pump It Up franchise. Understanding the breakdown between operating and variable lease costs can help in forecasting expenses and assessing the potential profitability of the business. Additionally, it's advisable to inquire about the terms and conditions of the leases, including any potential escalations or renewal options, to gain a complete understanding of the long-term financial implications.