What was the total rent and other occupancy expense for Carls franchised restaurants in fiscal year 2023?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
s claimed in litigation against us may be unsupported, exaggerated or unrelated to possible outcomes, and as such may not be meaningful indicators of our potential
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 79–80)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, the total rent and other occupancy expenses for franchised restaurants in fiscal year 2023 was $77,492. This figure represents the expenses Carls incurred related to rent and occupancy for its franchised locations during that fiscal year.
For a prospective franchisee, this number provides insight into the franchisor's expenses related to supporting franchised locations. It is important to note that this is not the rent a franchisee will pay for their specific location. A franchisee's rent and occupancy costs will depend on factors such as location, size, and lease terms, which are typically negotiated independently by the franchisee.
It is important for a prospective Carls franchisee to carefully review Item 7 of the FDD, which outlines the estimated initial investment, including real estate costs. Additionally, franchisees should conduct thorough due diligence to understand the typical rent and occupancy costs in their target market to ensure the financial viability of their Carls franchise.