What was the total amount spent on marketing and advertising for Carbones Pizzeria?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
, 2024.
Company Restaurant Sales
The Company earns revenue from sales at the Company owned restaurant and is recognized at the time of sale.
Advertising
In accordance with signed franchise agreements, franchisees contribute royalties to an advertising fund. The fund is to be used to maximize public recognition of Carbone's Pizzeria. The Company expenses advertising costs as incurred. Advertising expenses are included in sales and marketing expenses for the years ended October 31, 2024 amounted to $237,855.
Income Taxes
The Company accounts for income taxes under asset and liability method. This approach requires the recognition of deferred tax assets and liabilities for the expected future tax consequences attributed to temporary differences between the financial reporting basis and the respective tax basis of these assets and liabilities
Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which the differences are expected to be recovered or settled.
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, advertising expenses are included in sales and marketing expenses. For the year ended October 31, 2024, the amount spent was $237,855. For the year ended October 31, 2023, the amount spent was $278,545. For the year ended October 31, 2022, the advertising and promotion expense was approximately $506,000.
These figures reflect Carbones Pizzeria's investment in promoting the brand and supporting both company-owned and franchised locations. Franchisees benefit from these expenditures through increased brand awareness and customer traffic. The amounts can fluctuate year to year based on the company's strategies and priorities.
Prospective franchisees should consider these figures in relation to their own marketing plans and expected local advertising spend. It's important to understand how the advertising fund is managed and how it benefits individual franchise locations. It is also important to note that the franchisees contribute royalties to the advertising fund.