What were the total royalties for Carbones Pizzeria for the four months ended February 28, 2025?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
| Cash and cash equivalents | $ 325,105 |
|---|---|
| Accounts receivables, less allowance for doubtful of $175,595 | 113,672 |
| Due from stockholder | 516,806 |
| Accounts receivable, related party | 270,171 |
| Inventory | 3,650 |
| Prepaid expenses | 13,564 |
| Total current assets | 1,242,968 |
| Deferred tax assets | 44,000 |
| Property and equipment, net | 127,358 |
| Total assets | $ 1,414,326 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | |
| CURRENT LIABILITIES | |
| Loan payable, current portion | $ 3,231 |
| Accounts payable and accrued expenses | 43,619 |
| Income taxes payable | 76,000 |
| Total liabilities | 122,850 |
| STOCKHOLDER'S EQUITY | |
| Common stock - $1.00 par value; authorized, 25,000 | |
| shares; issued and outstanding 2,500 shares | 2,500 |
| Additional paid-in capital | 266,117 |
| Retained earnings | 1,057,415 |
| Treasury stock, at cost | (34,556) |
| Total stockholder's equity | 1,291,476 |
| Total liabilities and stockholder's equity | $ 1,414,326 |
M & T PIZZA INCORPORATED AND SUBSIDIARIES Consolidated Statem
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, for the four months ended February 28, 2025, the total royalties were $204,617. This figure represents the service fees Carbone's Pizzeria received from franchised locations, calculated as a percentage of their weekly sales.
For a prospective franchisee, understanding the royalty structure is crucial. Royalties are a primary ongoing expense, and this figure provides a snapshot of what Carbones Pizzeria earned in royalties during that period. It is important to note that this amount reflects royalties from all franchisees and not just a single location.
In addition to royalties, Carbones Pizzeria also generated revenue from company-owned restaurant sales ($246,739), advertising fund revenues ($61,588), and rebate revenue ($44,604) during the same four-month period. These figures, combined with the royalty income, contributed to a total revenue of $557,548 for Carbones Pizzeria during that time. Reviewing these figures helps a potential franchisee understand the different revenue streams that contribute to the overall financial health of the company.