For a Cordova franchise, are utilities considered a Disclosed Expense?

According to Cordova's 2025 Franchise Disclosure Document, utilities are considered a Disclosed Expense. The FDD defines "Disclosed Expenses" as select expenses including rent, utilities, office supplies, marketing, insurance, technology, and administrative and management labor cost.

For prospective Cordova franchisees, this means that the franchisor may provide financial performance representations that include these specific expenses. The inclusion of utilities as a Disclosed Expense allows potential franchisees to have a clearer understanding of the operating costs associated with running a Cordova franchise.

In the case of Cordova's Company Owned Outlet in Omaha, Nebraska, the FDD lists the actual utility expenses for the 2024 calendar year as $9,008, representing 0.1% of gross sales. This provides a benchmark, though franchisees should recognize that their own utility expenses may vary based on location, usage, and other factors. It is important to note that the financial information provided is based on a Company Owned Outlet and may not be representative of franchised outlet performance.