Does the gross sales volume for Carbones Pizzeria include discounts?
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 does not include discounts. The FDD specifies that the gross sales figures represent all revenues from restaurant operations in 2024, including delivery and off-premises sales, but explicitly excludes revenue from alcohol sales, sales tax, use tax, non-food vending machine sales, and discounts. This definition aligns with the terms outlined in Carbones Pizzeria's Franchise Agreement.
For a prospective Carbones Pizzeria franchisee, this means that the reported gross sales figures in Item 19 reflect the actual revenue before any discounts are applied. This provides a clearer picture of the restaurant's sales performance, as discounts can vary based on promotional activities or other factors. Understanding this distinction is crucial for accurately assessing the potential financial performance of a Carbones Pizzeria franchise.
It is important to note that sales volumes can vary significantly due to factors such as local demographics, competition, traffic flow, economic conditions, and the franchisee's management abilities. The FDD also mentions that the sales information is based on reports from franchisees or point-of-sale system data. Carbones Pizzeria also states that written substantiation for the financial performance representation will be made available to you upon reasonable request.