In this FDD Talk post, you’ll learn the following:
- Section I – Background information on the Uno Pizzeria & Grill franchise opportunity, including relevant news updates
- Section II – Estimated initial investment for an Uno Pizzeria & Grill franchise, based on Item 7 of the company’s 2018 FDD
- Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for an Uno Pizzeria & Grill franchise, based on Items 5 and 6 of the company’s 2018 FDD
- Section IV – Number of franchised and company-owned Uno Pizzeria & Grill outlets at the start of the year and the end of the year for 2015, 2016, and 2017, based on Item 20 of the company’s 2018 FDD
- Section V – Presentation and analysis of Uno Pizzeria & Grill’s financial performance representations, based on Item 19 of the company’s 2018 FDD, including information on the:
- fiscal year 2017 average sales for the 64 parent-owned and 35 franchised full service Uno Restaurants open during all of fiscal year 2017
- fiscal year 2017 average net sales; cost of sales; direct labor; management salary; payroll taxes and benefits; controllables; advertising and business co-op; royalties; trash extermination and security; other non-controllables; and earnings before repairs and maintenance, utilities, rent and other occupancy costs, depreciation, administration, insurance, interest, and taxes for the 64 parent-owned full service Uno Restaurants open during all of fiscal year 2017
Section I – Background Information
12 Things You Need to Know About the Uno Pizzeria & Grill Franchise
Launches New Menu Focused on Craft Pizza and Craft Beer
1. At the beginning of November 2017, Uno Pizzeria & Grill launched a new menu that focuses on its made-from-scratch, handcrafted pizza and craft beer offerings. The new menu has an updated contemporary design and features photographs that highlight the brand’s authentic heritage and the care Uno’s puts into making pizza.
2. There is a new line of deep dish pizzas, The Chicago Originals, which features recipes and ingredients from Uno’s Chicago heritage. The brand has also expanded its Thin Crust Pizza line (which launched in 2016) with the new “Chicago’s Finest,” which offers unique combinations of flavors and toppings. To round out the new pizza offerings, Uno’s has also added pizza dipping sauces that are served with every pizza. The brand hopes that the sauces will enhance the pizza eating experience.
3. In addition to the new pizza menu, Uno’s has expanded its beer line up to include six rotating taps of regional, local, and hyperlocal craft beer to complement its five permanent varieties of beer. Customers can check what’s on tap by using Uno’s Untappd mobile app or visiting the Uno website.
4. Louie Psallidas, president and CEO of Uno Pizzeria & Grill, said, “There’s nothing like having a fresh, craft beer to go along with fresh, craft pizza. That’s what we do best at Uno’s and we’re excited to bring these delicious flavors to our restaurants across the country and around the world. We aim to create extraordinary moments for all our guests at Uno, and we’re excited to continue doing that with our new craft pizza and beer lineup.”
United Airlines Now Offers Uno’s Pizza In-flight
5. On July 1, 2017, United Airlines began offering economy passengers the option of purchasing an Uno deep-dish personal pizza on select flights departing from the U.S. The pizza will only be available on flights within the U.S. that exceed 3.5 hours, and on United flights from the U.S. to either Canada, Mexico, Central America, or the Caribbean.
6. The airline, which is headquartered in Chicago (like the original Pizzeria Uno restaurant), added the pizza to its revamped Bistro on Board menu. The pizza that United chose to sell features spinach, garlic, and cheese and costs $9.99. There is also a combo beer/pizza deal for $13.99, which comes with Miller Lite.
7. According to a spokesperson for United Airlines, the company chose Uno’s pizza not only because of the hometown connection, but more importantly, because Uno’s pizza tasted the best.
Announces New Craft Beer Line Up
8. At the start of February 2018, Uno Pizzeria & Grill launched its latest seasonal craft beer lineup. The new craft beer menu, which launched in the fall of 2017, now includes six rotating taps of regional, local, and hyperlocal craft beer at each restaurant. The craft beer initiative has enabled restaurants to host neighborhood brewers, and customers to talk more about their selection and sample the best of their local brews at their local Uno’s restaurant.
9. Louie Psallidas, president and CEO of Uno Pizzeria & Grill, said, “The program we have in place is more than just serving craft beer, it’s about building relationships with local brewers where we can both benefit. Working together allows us to create awareness of the breweries near each Uno’s and bring the community together in our restaurants to enjoy great handcrafted pizza and great craft beer.”
10. Uno Pizzeria & Grill (informally called Uno’s) was founded under the name Pizzeria Uno in 1943 by Ike Sewell and Ric Riccardo in Chicago, Illinois. Although there is some uncertainty over the claim, Sewell said that he and Riccardo invented Chicago deep dish pizza. Over a decade later, Sewell opened another pizza restaurant and named it Pizzeria Due (uno and due are Italian for one and two). In 1978, Sewell franchised the name and concept of his restaurants to the Uno Restaurant Holdings Corporation.
11. The first four franchised locations were opened in Boston, Massachusetts and the chain continued to grow over the next decade. After Sewell died in 1990, his widow Florence sold the two original Pizzeria Uno locations in Chicago to the Uno Restaurant Holdings Corporation. Today, there are over 110 Uno Pizzeria & Grill locations in 21 states, the District of Columbia, United Arab Emirates, Honduras, Kuwait, and Saudi Arabia.
Entrepreneur’s Franchise 500
12. Uno Pizzeria & Grill has not ranked on Entrepreneur’s annual Franchise 500 list in the past 10 years. The last time the franchise appeared on the list was in 2006 at No. 252.
Section II – Estimated Costs
- Please click here for detailed estimates of Uno Pizzeria & Grill franchise costs, based on Item 7 of the company’s 2018 FDD.
Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees
- Please click here for detailed information on Uno Pizzeria & Grill’s initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2018 FDD.
Section IV – Number of Franchised and Company-Owned Outlets
- Outlets at the Start of the Year: 58
- Outlets at the End of the Year: 50
- Net Change: -8
- Outlets at the Start of the Year: 50
- Outlets at the End of the Year: 43
- Net Change: -7
- Outlets at the Start of the Year: 43
- Outlets at the End of the Year: 44
- Net Change: +1
- Outlets at the Start of the Year: 82
- Outlets at the End of the Year: 77
- Net Change: -5
- Outlets at the Start of the Year: 77
- Outlets at the End of the Year: 73
- Net Change: -4
- Outlets at the Start of the Year: 73
- Outlets at the End of the Year: 66
- Net Change: -7
Section V – Financial Performance Representations (Item 19, 2018 FDD) and Analysis
- The sales information which follows was aggregated from parent-owned and franchised Full Service Uno Restaurants open for the entire fiscal year ended October 1, 2017. Parent-owned Uno Restaurants are operated by subsidiaries of the parent company URL.
- Information from parent-owned restaurants that operate under the names Pizzeria Uno, Pizzeria Due, and Sue Casa is not included.
- The expense information which follows was aggregated from parent-owned Full Service Uno Restaurants only, since expense data is not available for franchised Full Service Uno Restaurants.
- As of Uno Pizzeria & Grill’s 2017 fiscal year end, the average time in operation of the parent-owned Full Service Uno Restaurants included in this analysis is 21 years. The Full Service Uno Restaurants included in this analysis are located in the following states:
- Florida – 5
- Illinois – 1
- Indiana – 1
- Maine – 2
- Maryland – 4
- Massachusetts – 20
- New Hampshire – 4
- New York – 15
- Pennsylvania – 1
- Rhode Island – 3
- Vermont – 1
- Virginia – 6
- Washington, D.C. – 1
- Total: 64
Part 1 – Statement of Average Sales for All 64 Full Service Company-Owned Uno Restaurants and All 35 Full Service Domestic Franchised Uno Restaurants Open for the Entire 52 Week Period Ended October 1, 2017
- The table below contains a comparison of certain financial information received from Uno Pizzeria & Grill franchisees along with the average financial results of Uno Pizzeria & Grill’s parent-owned Full Service Uno Restaurants.
- The numbers and percents indicated in the table below relate to the 64 parent-owned Full Service Uno Restaurants and 35 domestic franchised Full Service Uno Restaurants open during all of fiscal year 2017 (October 3, 2016 to October 1, 2017).
- While Uno Pizzeria & Grill suggests that its franchisees utilize a uniform accounting system in reporting, which is consistent with generally accepted accounting principles, it should be expressly noted that Uno Pizzeria & Grill cannot attest to (i) the accuracy of the information received from its franchisees, or (ii) whether such information was actually prepared in accordance with generally accepted accounting principles.