Does the gross sales volume for Carbones Pizzeria include any delivery or off-premises sales?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
- Gross sales volume shown in the table above includes all revenues from the operation of the Restaurant for 2024 including any delivery or off-premises sales but excludes revenue from alcohol sales. Gross Sales do not include sales tax or use tax, non-food vending machine sales, and discounts. This is consistent with the definition of Gross Sales in our Franchise Agreement. Sales volumes vary considerably due to a variety of factors, such as demographics of the Restaurant trade area, competition from other restaurants in the trade area, traffic flow, accessibility and visibility, economic conditions in the restaurant trade area, advertising and promotional activities, and the business abilities and efforts of the management of the restaurant.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 26–27)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the gross sales volume includes revenues from delivery and off-premises sales. Specifically, the Item 19 notes clarify that the gross sales figures reported for the restaurants include all revenues from the operation of the restaurant for 2024, encompassing any delivery or off-premises sales. However, these gross sales figures exclude revenue from alcohol sales, sales tax or use tax, non-food vending machine sales, and discounts.
This inclusion of delivery and off-premises sales in the gross sales figures is important for prospective franchisees to understand, as it provides a more comprehensive view of potential revenue streams. Carbones Pizzeria offers different franchise models, including fast casual, express, and full-service restaurants, each with varying levels of dine-in, carry-out, and delivery services. The express model, for example, contemplates limited or no on-premises seating, making delivery and off-premises sales particularly crucial for that model's success.
The financial performance representation also highlights that sales volumes can vary significantly based on factors such as the demographics of the restaurant's trade area, competition, traffic flow, economic conditions, and the franchisee's business abilities. The document also notes that the sales information is taken from reports provided by franchisees or from their point-of-sale systems. While the FDD provides ranges of annual gross sales for different restaurant types, it also cautions that individual results may differ, and there is no assurance that a franchisee will achieve the same sales levels. Substantiation for the financial performance representation is available upon reasonable request.