When is the advertising fee due for a Carbones Pizzeria franchise?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 6. OTHER FEES
| (Column 1) Type of Fee1 | (Column 2) Amount | (Column 3) Due Date | (Column 4) Remarks |
|---|---|---|---|
| Royalty | 4% of Gross Sales on the initial $1,000,000 in Gross Sales per year, 3% of Gross Sales on the next $1,000,000 per year and 2% of Gross Sales on any additional Gross Sales over $2,000,000 per year. | Payable monthly on 10th day following the month covered | Gross Sales includes all revenues from the operation of the Restaurant including any delivery or off premises sales. Gross Sales do not include sales tax or use tax, non-food vending machine sales, revenue from alcohol sales, and discounts. |
| Advertising | 1% of total Gross Sales up to $2,000,000 per year. No additional fee for Gross Sales over $2,000,000 in that year. | Payable monthly on 10th day following the month covered | |
| Late Fee | 1.5% per month from date due, not to exceed the highest rate of interest allowed by law. | Upon demand | This fee is imposed by us if you do not pay amounts you owe |
Source: Item 6 — OTHER FEES (FDD pages 8–10)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the advertising fee is due monthly. Specifically, it is payable on the 10th day following the month covered.
This means that if a Carbones Pizzeria franchisee's gross sales for January are $10,000, the advertising fee of 1% (or $100) is due on February 10th. The advertising fee is 1% of total Gross Sales up to $2,000,000 per year. There is no additional advertising fee for Gross Sales over $2,000,000 in that year.
It is important to note that if the 10th day of the month falls on a non-business day, the payment due date will be the immediately following business day. Franchisees must also provide Carbones Pizzeria with a sales report by the 5th of each month for the prior month, disclosing sales information and any other required information.