What was the average revenue for franchised Crisp & Green restaurants, as reported in Item 19?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
| Corporate | Franchised(2) | All Restaurants(3) | |
|---|---|---|---|
| Number of Restaurants | 1 | 14 | 15 |
| Average(4) | $2,537,832 | $1,760,761 | $1,812,565 |
| Median(5) | $2,537,832 | $1,883,919 | $1,971,268 |
| Low | $2,537,832 | $972,804 | $972,804 |
| High | $2,537,832 | $2,846,953 | $2,846,953 |
| #/% at or above average | 1/100% | 8/57% | 8/53% |
| #/% below average | 0/0% | 6/43% | 7/47% |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 57–62)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, Item 19 includes financial performance representations for the calendar year ended December 31, 2023. Specifically, it details the historical gross sales for both the corporate restaurant and franchised restaurants that were open and operating for the entirety of 2023. The data encompasses the average and median gross sales performance of these restaurants. The franchisor states that the information is based on revenue reports received from franchisees, which were not audited, and the revenue and expense reports of the Corporate Restaurant, which were also not audited.
For franchised restaurants operating for more than 24 months as of December 31, 2023, the average gross restaurant sales were $1,760,761, based on 14 locations. For all restaurants open for the entire 2023 calendar year, which included 28 franchised restaurants, the average gross restaurant sales were also $1,760,761.
It is important to note that Crisp & Green states that individual results may vary, and there is no assurance that a franchisee will earn as much. The FDD also clarifies that written substantiation for the financial performance representation will be made available to prospective franchisees upon request. This means that while the average revenue provides a benchmark, potential franchisees should conduct their own due diligence and consider various factors that could influence their restaurant's performance.