Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk 2014: Our Latest Views on Massage Retreat & Spa’s Revenues and Operating Income for Company-Owned Centers

by Franchise Chatter on September 18, 2014

in Franchise Earnings, Massage Franchise

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Massage Retreat & Spa Photo from Savvy.mn

Highlights of Massage Retreat & Spa’s Item 19 Financial Performance Representations (2014 FDD)

  • You will operate a spa business that offers clients massage therapy, customized facial services, chemical peels, waxing services, eyebrow and eyelash tinting services, and related products and spa services under the Massage Retreat & Spa trademarks and system.
  • The following includes information regarding four Massage Retreat & Spa Centers that have been in operation for at least a full 12 months. These four locations are owned and operated by Massage Retreat & Spa’s affiliate, MRS Inc.
  • The first Center is located in Plymouth, Minnesota and has been in operation since July 2007.
  • The second Center is located in Edina, Minnesota and has been in operation since December 2010.
  • The third Center is located in Shoreview, Minnesota and has been in operation since October 2012.
  • The fourth Center is located in Savage, Minnesota and has been in operation since October 2012.
  • These four centers are located in shopping centers in suburban communities.
  • As of the date of the 2014 disclosure document, a total of seven Massage Retreat & Spa Centers were open and in operation in Minnesota.
  • The information below has been obtained from sales records and reports kept in the ordinary course of business and it is not audited.
  • The term “Gross Revenues” means the amount of all cash receipts for the sale of any products or services of the Massage Retreat & Spa Center.
  • The term “Operating Income” means Gross Revenues less product costs and Center-level operating expenses, including therapist wages, front desk wages, payroll taxes, rent, utilities, supplies, marketing, advertising, and promotional expenses. Operating Income excludes corporate expenses such as accounting, legal, interest expense, depreciation and amortization, travel, and auto expenses.
  • Spa #1, Plymouth, Minnesota, opened in July 16, 2007. Spa #2, Edina, Minnesota, opened in December 2, 2010. Spa #3, Shoreview, Minnesota, opened in October 4, 2012. Spa #4, Savage, Minnesota, opened in October 18, 2012. The calculations in the charts below begin on the date each Center opened for business.

Gross Revenue and Operating Income of Massage Retreat & Spa Centers Open at Least 12 Months as of December 31, 2013

Massage Retreat & Spa #1 – Plymouth, Minnesota


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