What was the area rep expense for Zoomin Groomin in 2024?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
0,782 | 39,540 | | Total Current Liabilities | 1,831,712 | 1,074,372 | 213,100 | | | | | | | Long-Term Liabilities | | | | | Deferred Revenue | 7,974,307 | 4,125,904 | 1,240,410 | | Total Long-Term Liabilities | 7,974,307 | 4,125,904 | 1,240,410 | | Total Liabilities | 9,806,019 | 5,200,276 | 1,453,510 | | Members' Equity | | | | | Retained Earnings | (3,636,263) | (1,810,982) | (693,256) | | Members' Equity | (3,636,263) | (1,810,982) | (693,256) | | TOTAL LIABILITIES & EQUITY | $ 6,169,756 | $ 3,389,294 | $ 760,254 |
Statements of Operations For The Three Years Ended December 31
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Revenues | |||
| Franchise Fees | $ 496,101 | $ 260,076 | $ 24,545 |
| Marketing & Technology Revenue | 383,043 | 103,849 | 10,059 |
| Area Rep Sales Revenue | 485,389 | 484,754 | 55,248 |
| Royalty Revenue | 1,420,950 | 376,630 | 92,640 |
| Other Income | 40,000 | 113,749 | - |
| Interest Income | 73,831 | 57,843 | 23,128 |
| Total Revenues | 2,899,314 | 1,396,901 | 205,620 |
| Expenses | |||
| Advertising and Marketing | 919,283 | 280,833 | 96,532 |
| Amortization Expense | 6,000 | 6,000 | 6,000 |
| Area Rep Expense | 1,658,376 | 568,628 | 74,059 |
| Commissions and Consulting | 167,473 | 198,260 | 9,750 |
| Contract Labor | 48,517 | 4,025 | 3,750 |
| Filing Fees | 8,569 | 7,905 | 5,951 |
| Insurance Expense | 7,492 | 5,368 | 4,203 |
| Lease Expense | 27,258 | - | - |
| Legal and Professional | 68,861 | 12,145 | 10,294 |
| Licenses & Fees | 175 | 601 | 535 |
| Meal Expense | 11,695 | 10,425 | 5,372 |
| Meeting Expense | 832 | 2,027 | 10,737 |
| Office Expense |
Source: Item 9 — 01. Financial Statements and Exhibits. (FDD pages 68–156)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, the area rep expense for the company in 2024 was $1,658,376. This figure is part of the company's overall expenses, which totaled $4,724,595 for the year. These expenses are detailed in the financial statements audited by DASH Business Solutions, LLC.
Understanding the area rep expense is crucial for potential franchisees as it reflects the costs associated with supporting and managing area representatives. These representatives play a key role in franchise development and support. A high area rep expense could indicate a strong focus on franchisee support, but it also contributes to the overall expenses that impact the company's profitability.
For the year 2024, Zoomin Groomin experienced a net loss of $1,825,281. This loss is calculated after accounting for all revenues and expenses, including the area rep expense. Prospective franchisees should carefully consider these financial figures to assess the financial health and stability of the company before investing in a franchise.