What is included in the definition of 'BUONA Catering Sales' for a Buona franchise?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
y accepted accounting principles. The same accounting system is used for each restaurant. The information has not been audited.
Definitionsfor Single Brand. The terms used in the tables below for the Single Brand Buona Businesses (both Free Standing and Inline) are defined for purposes of this Item 19 statement of financial performance representation as follows:
- (1) "BUONA Restaurant Sales" are defined as the portion of total revenue received from
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 60–75)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, 'BUONA Catering Sales' is defined as the revenue generated from the sale of goods and services related to Buona Catering Menu Items. This revenue includes payments made via cash, check, or credit card, but it excludes sales tax. This definition applies to both Single Brand and Dual Brand Buona restaurants.
For a prospective franchisee, understanding this definition is crucial for accurately tracking and reporting sales figures. It ensures that catering sales are properly categorized and accounted for, which is essential for calculating royalties, marketing fund contributions, and overall financial performance. By excluding sales tax from the catering sales figure, Buona aims to provide a clear and consistent method for franchisees to calculate their financial obligations and assess their business's profitability.
It's important to note that this definition is specific to the context of Item 19, which deals with financial performance representations. While the FDD provides this definition, franchisees should consult with financial and legal advisors to fully understand the implications and ensure compliance with all reporting requirements. This will help in making informed decisions and accurately assessing the financial health of their Buona franchise.