What is the Carbones Pizzeria franchisee's responsibility regarding the sales of all items through the POS system?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
ither necessitated by Franchisee's failure to prepare and deliver its financial statements, or to keep and preserve records as required by this Agreement, or unless such inspection discloses that any such statements made and delivered by Franchisee are in error by two percent (2%) or more of Gross Sales for any month, in either of which event such costs and expenses shall be borne and paid by Franchisee upon demand.
- m. Franchisee shall, at its sole expense, acquire and use the point-of-sale system required by Franchisor from time to time (the "POS System"). Franchisee shall, and shall ensure that, all sales of food, beverages and any other items of any kind by Franchisee shall be recorded through the POS System. Sales records produced by the POS System shall be maintained by Franchisee and open to inspection, examination and audit by Franchisor and its authorized representatives at all reasonable times.
- n. Only such vending machines as have been approved in writing by Franchisor may be installed on the premises of the Restaurant by Franchisee.
- o. The POS System shall maintain daily records indicating the Gross Sales for each day. Franchisee shall record all voided sales in the POS System.
Source: Item 23 — RECEIPTS (FDD pages 30–116)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, franchisees are required to use a point-of-sale (POS) system mandated by the franchisor. This system is essential for recording all sales transactions, including food, beverages, and any other items sold. The franchisee is responsible for ensuring that every sale is accurately and promptly entered into the POS system. This requirement ensures transparency and accurate record-keeping for both the franchisee and Carbones Pizzeria.
The POS system is designed to maintain daily records of gross sales, providing a clear overview of the restaurant's financial performance. Franchisees must also record all voided sales within the POS system to maintain an accurate sales record. These sales records, along with any previous cash register tapes, must be kept for at least five years. This retention period allows Carbones Pizzeria or its representatives to easily review the data during any examination of the franchisee's records, ensuring compliance with the franchise agreement.
Carbones Pizzeria has independent direct access to all data within the POS system and may access this data at any time. The franchisee is obligated to assist in facilitating this access. This direct access enables Carbones Pizzeria to monitor sales trends, verify royalty payments, and provide support to franchisees in managing their business effectively. By implementing these measures, Carbones Pizzeria aims to maintain consistency and accuracy across all franchise locations, ensuring the integrity of the brand and the financial health of the franchise system.