According to Carls's 2024 Franchise Disclosure Document, the total operating costs and expenses for fiscal year 2024 were $489,623. This figure includes various expenses related to both company-operated and franchised restaurants. For company-operated restaurants, these costs encompass food and packaging, payroll and other employee benefits, and occupancy expenses. Additionally, the total includes costs associated with franchised restaurants, advertising, general and administrative functions, and facility action charges.

Breaking down the company-operated restaurant expenses, food and packaging amounted to $97,879, payroll and other employee benefits totaled $122,640, and occupancy and other related costs reached $104,616. The total expenses for company-operated restaurants were $325,135. For franchised restaurants and other related expenses, the amount was $93,626. Advertising expenses totaled $20,726, while general and administrative costs were $47,953. Facility action charges, net, amounted to $2,183.

It's important to note that these figures represent the consolidated operating costs and expenses for Carls, reflecting the financial performance of both company-operated and franchised segments. Prospective franchisees should carefully review these figures to understand the cost structure of the business and how it impacts profitability. Understanding these costs is crucial for developing realistic financial projections and managing the financial health of a Carls franchise.