Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk Daily: Average Gross Sales of Company-Owned and Franchised Charleys Philly Steaks Restaurants

by Franchise Chatter on December 16, 2012

in Franchise Earnings, Sandwich Franchise



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Highlights of Charleys Philly Steaks’ Item 19 Financial Performance Representations (2012 FDD)

  • The franchise offered is for a restaurant operating under the name “Charleys Philly Steaks” featuring a limited menu of fresh grilled subs and other menu items as the franchisor may authorize from time to time (“Charleys Restaurant” or “Restaurant”).
  • The total investment necessary to begin operation of a Charleys Restaurant is $83,095 to $406,504 (excluding real estate and related costs). This includes $24,500 that must be paid to the franchisor.

Statement of Average Gross Sales of Charleys Restaurants for the 52-Week Period Ending December 31, 2011

  • Charley's Philly Steaks Gourmet ComboThe statement of Average Gross Sales consists of the mean averages of reported annual gross sales of 33 company-owned restaurants and 363 franchisee-owned restaurants during the entire 52-week reporting period ending December 31, 2011.
  • The statement of Average Gross Sales excludes the results from 60 franchisee-owned restaurants that were not open during the entire 52-week reporting period ending December 31, 2011.
  • The Gross Sales of franchisee-owned restaurants were derived from unaudited financial reports submitted by franchisees for the purpose of computing royalties. The franchisor compiled the Gross Sales of company-owned restaurants on the basis of generally accepted accounting principles, consistently applied.
  • This financial performance representation does not reflect the costs of sales, operating expenses, or other costs or expenses that must be deducted from the gross revenues or gross sales figures to obtain your net income or profit.


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