Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

  • Anytime Fitness
  • CruiseOne
  • Firehouse Subs
  • Jimmy John's
  • Massage Envy
  • Menchie's
  • Orange Leaf Frozen Yogurt
  • Planet Fitness
  • The UPS Store
  • Yogurt Land
  • And Hundreds More...

No, thanks. I'm not interested in uncovering the actual earnings of hundreds of franchises at this time.

FDD Talk 2014: Our Latest Views on Your Pie’s Gross Sales, Cost of Goods, Labor Expenses, and Operating Income

by Franchise Chatter on May 16, 2014

in Franchise Earnings, Pizza Franchises



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Your Pie

Highlights of Your Pie’s Item 19 Financial Performance Representations (2014 FDD)

  • The historical financial performance representation appearing below provides a profit and loss statement for the three Restaurants (all owned by franchisees unaffiliated with Your Pie)(the “Profiled Restaurants”) that exhibited the highest gross sales, lowest gross sales, and median gross sales of all Restaurants (franchised and company-owned) that operated continuously during the period January 1, 2013 through December 31, 2013, with the exception that the Restaurant with the highest gross sales during this period was only operated for the period from March 4, 2013 through December 31, 2013.
  • The data presented has been generated using financial reports submitted by the three franchised owners. Each franchisee entered all data into their financial reports and each was responsible for categorizing their data according to guidelines Your Pie provides. Your Pie has not audited or verified these financial reports.
  • “Gross Sales” is defined as all revenue generated from operating the Restaurant and “Net Sales” is determined by excluding taxes that are collected from customers and paid to a taxing authority, and the amount of discounts to customers in the form of coupon sales and redemptions.
  • “Purchases” represent the cost of all food, beverage, and paper/packaging.
  • “Labor” includes the cost of wages, manager salaries, payroll taxes, bonuses, and workers’ compensation insurance.
  • “Operating Expenses” include all other costs of operating the Restaurant, including but not limited to royalties, Ad Fund contributions, credit card charges, rent, utilities, advertising, professional services.
  • The Profiled Restaurants occupy between 2,000 to 2,800 square feet of space. The Profiled Restaurants offer the same types of products and services that your Restaurant will offer.
  • The expenses in the profit and loss statement table exclude any franchise owner related expenses (e.g. salary, life insurance, health insurance, automobile expense, miscellaneous), except the labor number for Restaurant C includes a salary for the owner and general manager. There may be other costs and expenses related to operating a Restaurant that are also not identified in the table below.
  • Restaurant A is located in a state in the southern part of the United States. This Restaurant originally opened in July 2011 but has been operated under new ownership since July 2013. Accordingly, the numbers for this Restaurant were provided to Your Pie by each of the owners for their portions of calendar year 2013. The Restaurant is located in a strip shopping center and serves primarily families and adults.
  • Restaurant B is located in a strip shopping center in a northern suburb of Atlanta, Georgia and it caters mostly to families and adults. The franchisee has operated this Restaurant since November 12, 2010.
  • Restaurant C is located in a city in southwest Georgia and has been operated since March 2013. The Restaurant is located in the downtown business district, serving working professionals, families, and adults.

Restaurant A (Lowest Gross Sales)



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