FDD Talk Daily (Children’s Franchises): Average Gross Revenue Performance of Webby Dance Company Businesses

This special FDD Talk series will highlight the financial performance representations of over 20 Children’s franchises, with a cross-analysis of the featured franchises to be published at the end of the series.

Highlights of Webby Dance Company’s Item 19 Financial Performance Representations (2012 FDD)

• The franchised business teaches children’s dance, gymnastics, yoga, and cheerleading classes.

• The total investment necessary to begin operation of a Webby Dance Company franchise ranges from $25,980 to $42,550. This includes up to $20,500 that must be paid to the franchisor or an affiliate.

Average Gross Revenue Performance of Webby Dance Company Businesses

• Four Businesses were omitted from this Financial Performance Representation (FPR) because their operations are not typical of most Webby Dance Company Businesses.

• Of these, 2 company-related Businesses located in Ohio, owned by relatives of company owner Becky Webber, were omitted from the FPR because they are operated on a part-time basis.

• A Business in Ohio that is only licensed to offer classes at 2 public schools was not included.

• A fourth Business, located in Ohio, was omitted because its owner maintains a fixed-location center rather than traveling to Host Organizations to teach classes.

• Except as disclosed above, this FPR includes all Webby Dance Company Businesses that were in operation on December 31, 2011. There were 10 Businesses in California, 1 in Florida, 2 in Ohio, and 1 in Texas.

• This FPR relates to calendar year 2011.

• The revenue of your Business will normally be substantially less during the summer term than it is during the rest of the year.

• Among the most important factors affecting your revenue will be the length of time that you have been in business, the number of Host Organizations located in your Territory, the amount of time and effort that you invest in your Business, the demographics of your Territory, the strength and number of competitors in your area, and general economic conditions.

• The figures below do not reflect the costs of sales, operating expenses, or other costs or expenses that must be deducted from the gross revenue or gross sales figures to obtain your net income or profit.