What expenses are included in Cicis' definition of 'Controllable Expenses'?

According to Cicis's 2025 Franchise Disclosure Document, 'Controllable Expenses' encompass a range of operational costs that a franchisee can typically manage and influence. These include expenses for utilities, repairs and maintenance, smallwares, other store supplies, cleaning supplies, linen, uniforms, game room expenses, office supplies, trash removal, security, bank/credit card fees, sales tax adjustments, online delivery fees, and local marketing spend. Understanding which costs are categorized as 'controllable' is important for franchisees as it directly impacts their ability to manage profitability.

These expenses are aggregated to calculate the Restaurant EBITDA Before, which is a key metric representing the restaurant's earnings before deductions for royalty and technology/support fees. The Restaurant EBITDA Before is calculated by subtracting COGS (Cost of Goods Sold), Payroll Costs, Controllable Expenses, Advertising National, and Non-Controllable Expenses from Net Company Sales.

For a prospective Cicis franchisee, a clear understanding of 'Controllable Expenses' is crucial for budgeting and financial planning. By effectively managing these expenses, franchisees can directly impact their restaurant's profitability and overall financial health. The FDD also lists 'Non-Controllable Expenses' as occupancy costs, property tax, and other taxes and related expenses, which are costs the franchisee has less direct control over.