What is the name of the advertising fund maintained by Carbones Pizzeria?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
imes we may specify (Franchise Agreement, Section 7).
- (4) Maintain and administer the Carbone's Pizza Advertising Fund (Franchise Agreement, Section 6).
- (5) Be available to consult with you on marketing initiatives you may want to employ (Franchise Agreement, Section 7).
Advertising.
We have no obligation to spend any amounts on advertising your Restaurant.
Carbone's Pizza Advertising Fund.
You must pay an advertising fee of 1% of your monthly Gross Sales up to $2,000,000. There is no advertising fee on Gross Sales over $2,000,000 in any given year. Funds are collected and maintained in a separate bank account from our general operating funds. Our company-owned Restaurant also pays the 1% advertising fee to the fund.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 15–19)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, the advertising fund is called the Carbone's Pizza Advertising Fund. Carbones Pizzeria maintains and administers this fund, as stated in Franchise Agreement, Section 6.
Prospective franchisees should note that they are required to pay an advertising fee of 1% of their monthly Gross Sales, up to $2,000,000. Once gross sales exceed $2,000,000 in a given year, no further advertising fees are required. The funds collected are kept in a separate bank account, distinct from Carbones Pizzeria's general operating funds. Notably, the company-owned restaurant also contributes 1% of its gross sales to the advertising fund.
It's important to be aware that there are exceptions: one franchisee does not pay an advertising fee at all, and another has a threshold lower than $2,000,000 for ceasing payments. This may be due to older agreements. Franchisees should inquire about the specific terms and conditions related to advertising fees and how they might apply to their individual franchise agreement.