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Brixx Pizza

Pizza · 2024 FDD

Brixx Pizza offers hand-crafted brick oven wood-fired pizzas and other casual dining items in a full-service restaurant format. Known for its authentic pizza and bar service, Brixx operates in the quick-serve restaurant sector.

$1,029,550 – $1,621,000
Total investment
$45,000
Franchise fee
5%
Royalty
15 yrs
Agreement term
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Brixx Pizza franchise FAQ

How much does it cost to open one — the total initial investment?

The total initial investment necessary to open one Brixx franchise ranges from $979,550 to $1,571,000, which includes a development fee of $45,000 that must be paid to the franchisor or its affiliates. [p.1]

What is the initial franchise fee?

The initial franchise fee is $45,000 per Restaurant and must be paid as a nonrefundable lump sum upon signing the Franchise Agreement. However, if you develop two or more Restaurants under an Area Development Agreement, you receive a discounted initial franchise fee of $25,000 per Restaurant [p.12, p.213].

What are the ongoing royalty and advertising fees?

The ongoing royalty fee is 5% of Gross Sales collected weekly by electronic withdrawal from the franchisee's bank account on Wednesday of each week [p.108]. Additionally, there is a requirement to contribute up to 2% of Gross Sales to the Brixx Brand Fund, with the current rate being 1.1% [p.30]. These contributions are also payable weekly and in addition to the royalty fee [p.30].

How long is the initial franchise agreement, and can I renew it?

The initial term of the franchise agreement and whether you can renew it are not specified in the provided excerpts. This information typically would be found in sections detailing the term length and renewal procedures, which are not included here.

Can I sell or transfer my franchise, and what does that require?

The FDD indicates that a franchisor can refuse to permit the transfer of ownership of a franchise except for good cause [p.5(g)]. Good cause includes but is not limited to unspecified factors. Additionally, any transfer must comply with applicable laws governing the offer and sale of franchises [p.138(i)].

On what grounds can the franchisor terminate the agreement?

The franchisor can terminate the agreement for good cause, which includes the failure of the franchisee to comply with any lawful provision of the franchise agreement and to cure such failure after being given written notice and a reasonable opportunity (no more than 30 days) to do so. [p.5]

What financial requirements — net worth and liquid capital — do I need to qualify?

This isn't specified in the excerpts.

Do I get an exclusive or protected territory?

No, you do not receive an exclusive territory. You are protected from competition only within a specified radius around your restaurant, unless it is located in a metropolitan area with over 1,000,000 people, where the protection radius is smaller. Additionally, you may face competition from other franchisees or company-owned outlets [p.38].

What training and ongoing support does the franchisor provide?

The franchisor provides initial management training through a Management Training Program [p.34]. Additionally, the franchisor may offer guidance on operating problems and provide advice via various means such as phone consultations, emails, or meetings [p.116]. Ongoing support can include new product developments, system improvements, and access to Brand Standards Manuals [p.29, p.116]. However, if a franchisee requests more extensive support than provided to other franchisees, the franchisor may charge an additional training fee [p.29].

How many franchised outlets are there, and how many have closed or been terminated?

This isn't specified in the excerpts.

Does the franchisor share any financial performance or earnings information?

The franchisor may provide financial performance information based on actual records of existing outlets you are considering buying [p.55]. However, other than this, no financial performance representations are made, and no one is authorized to make such representations either orally or in writing [p.55]. Written substantiation for the provided financial performance representation can be obtained upon reasonable request [p.53].

What am I restricted to selling, and where must I buy supplies?

You are restricted to selling only those products and services specified and approved in writing by the franchisor. You must strictly follow their menu, policies, procedures, specifications, methods, and techniques for all products and services [p.44]. Additionally, you may have to buy or lease items from the franchisor or a limited group of suppliers they designate, which might be more expensive than other options [p.3].