factual

When are invoices for food, supplies, ingredients, or other materials purchased from Carbones Pizzeria payable?

Carbones_Pizzeria Franchise · 2025 FDD

Answer from 2025 FDD Document

  • j. All invoices for food, supplies, ingredients or other materials purchased from Franchisor shall be payable upon demand of Franchisor made to Franchisee, and when not paid on

Source: Item 23 — RECEIPTS (FDD pages 30–116)

What This Means (2025 FDD)

According to Carbones Pizzeria's 2025 Franchise Disclosure Document, invoices for food, supplies, ingredients, or other materials purchased from the Franchisor are payable upon demand. This means that Carbones Pizzeria can request immediate payment from the franchisee for these items.

This immediate payment requirement could impact a franchisee's cash flow management. Unlike typical payment terms that allow for a grace period (e.g., net 30 days), franchisees must be prepared to pay as soon as Carbones Pizzeria demands it. This necessitates careful budgeting and financial planning to ensure sufficient funds are always available.

Furthermore, if the franchisee does not pay on demand, it is implied that they will be in breach of the franchise agreement. This could lead to penalties, interest charges, or even termination of the franchise agreement. Therefore, franchisees need to maintain a strong relationship with Carbones Pizzeria and ensure clear communication regarding payment schedules and any potential financial constraints.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.