What was the labor cost for Carbones Pizzeria company restaurant sales?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
tockholder's equity | $ 1,454,272 |
Consolidated Statement of Operations For the Year Ended October 31, 2024
| Royalties | $ 980,131 |
|---|---|
| Company restaurant sales | 726,642 |
| Advertising fund revenues | 289,604 |
| Rebate revenue | 159,266 |
| Total revenues | 2,155,643 |
| Cost of company restaurant sales | |
| Food and beverage | 226,979 |
| Labor | 624,395 |
| Direct expenses | 191,618 |
| Total cost of company restaurant sales | 1,042,992 |
| Operating expenses | |
| Marketing and advertising | 237,855 |
| General and administrative | 735,475 |
| Total operating expenses | 973,330 |
| Income from operations | 139,321 |
| Other income (expense) | |
| Interest income | 35,160 |
| Interest expense | (4,108) |
| Other income | (39,824) |
| Loss on disposition of property and equipment | (123) |
| Total other in |
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the labor costs for the company restaurant sales for the year ended October 31, 2024, was $624,395. This figure is part of the total cost of company restaurant sales, which also includes food and beverage and direct expenses. The total cost of company restaurant sales for that year was $1,042,992.
For a prospective franchisee, understanding these costs is crucial for projecting potential profitability. Labor costs are a significant component of operating expenses in the restaurant business, and this figure provides a benchmark based on Carbones Pizzeria's own company-operated restaurant. It is important to note that labor costs can fluctuate based on factors such as minimum wage laws, local labor market conditions, and the efficiency of restaurant operations.
It is also important to consider that the labor costs reported may not be fully representative of what a franchisee might experience. Factors such as the franchisee's management skills, the location of the restaurant, and the specific staffing model employed can all impact labor expenses. Therefore, while this figure offers a useful reference point, prospective franchisees should conduct their own due diligence and develop realistic labor cost projections based on their specific circumstances.
In addition to labor costs, the FDD also provides information on other expenses related to company restaurant sales, such as food and beverage costs and direct expenses. By carefully analyzing all of these figures, prospective franchisees can gain a more comprehensive understanding of the financial dynamics of operating a Carbones Pizzeria restaurant.