What were the total revenues for Carbones Pizzeria for the year ended October 31, 2023?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
se agreements is 10 years commencing on the earlier of the date when the restaurant opens or twelve months following the date the franchise agreement was signed. During that time, the franchisee is allowed to use the Carbone's Pizzeria name and menu. When the franchise agreement expires, the franchise may pay an additional franchise fee to renew the agreement. The contract term for franchise renewal agreements is 10 years. There were no initial and renewal franchise fees in the year ended October 31, 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.
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the excerpts provided do not contain a specific figure for the total revenues of Carbones Pizzeria for the year ended October 31, 2023. However, the document does state that the company generates revenue primarily from restaurant royalties and franchise fees from franchised Carbone's Pizzeria locations in Minnesota, Wisconsin, and Montana, as well as from the operation of a company-owned franchise in Minnesota.
While the total revenue is not disclosed, the FDD does mention certain revenue-related items. For example, it notes that there were no initial and renewal franchise fees in the year ended October 31, 2023. It also mentions that advertising expenses, which are included in sales and marketing expenses, amounted to $278,545 for the year ended October 31, 2023. The company earns revenue from sales at the company-owned restaurant and recognizes it at the time of sale.
A prospective franchisee should ask Carbones Pizzeria for the specific total revenues for the year ended October 31, 2023, to gain a clearer understanding of the company's financial performance. Understanding the revenue streams and their magnitudes is crucial for evaluating the financial health and potential of the franchise.