What is excluded from 'Net Revenues' for an Amorino store?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
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- "Net Revenues" includes all revenues generated from all business conducted at or from a store during the Calendar Year, including amounts received from the sale of food items. "Net Revenues" does not include the amount of any applicable sales tax imposed by any federal, state, municipal or other governmental authority if such taxes are stated separately when the customer is charged, and franchisee pays such amounts as and when due to the appropriate taxing authority.
Also excluded from Net Revenues are the amount of any documented refunds, chargebacks, credits and allowances given to customers in good faith pursuant to our standard procedures for issuing such refunds.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 68–73)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, 'Net Revenues' for an Amorino store include all revenues generated from business conducted at the store during the calendar year, including the sale of food items. However, there are specific exclusions to this definition.
Specifically, 'Net Revenues' does not include the amount of any applicable sales tax imposed by any federal, state, municipal, or other governmental authority if such taxes are stated separately when the customer is charged, and the franchisee pays these amounts to the appropriate taxing authority when due. This means that Amorino franchisees do not need to include collected sales tax in their revenue calculations, as long as they properly remit those taxes to the government.
Additionally, 'Net Revenues' excludes the amount of any documented refunds, chargebacks, credits, and allowances given to customers in good faith, following Amorino's standard procedures for issuing such refunds. This adjustment accounts for situations where customers receive money back due to returns, disputes, or other legitimate reasons. These exclusions provide a more accurate picture of the actual revenue retained by the Amorino franchise after accounting for taxes and customer adjustments.