Singas Pizza
Singas Pizza offers fast casual Italian dining with specialty pizzas, sandwiches, salads, pastas, and wings in sit-down, take-out, and delivery formats. Known for a variety of Italian food items, this franchise is part of the quick-service restaurant sector.
Singas Pizza franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Singas Famous franchise ranges from $257,000 to $792,300 for a single restaurant. [p.1]
What is the initial franchise fee?
The initial franchise fee is $30,000 and it is fully earned upon payment and is nonrefundable [p.80]. For subsequent franchises beyond the first one, the fee decreases to $25,000 for the second franchise and further reduces to $20,000 for each additional franchise [p.12]. This isn't specified in the excerpts for the exact fee structure if more than three franchises are involved, but it indicates a reduction pattern for additional franchises.
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is 5% of Gross Revenues [p.15], payable on the first and fifteenth day of each month via electronic funds transfer or another method designated by the franchisor. For converting franchises, the current franchisee receives a 20% royalty of the royalties from the converting franchisee's operations in their territory for two years after conversion [p.46]. Regarding advertising fees, there is currently no advertising cooperative, but the franchisor reserves the right to establish one and require contributions from franchisees, with these funds used at the franchisor’s discretion [p.114]. Additionally, a franchisee must spend between $5,000 and $10,000 on Grand Opening Marketing [p.38].
How long is the initial franchise agreement, and can I renew it?
The initial term of the franchise agreement is not specified in the provided excerpts. However, you have the right to enter into a successor agreement for one successive term of five years upon the expiration of the initial term, provided certain conditions are met [p.78].
Can I sell or transfer my franchise, and what does that require?
According to [p.226], if you wish to sell or transfer your franchise, you must apply for consent from the franchisor by notifying them in writing and providing a complete description of the proposed transfer, including details about the prospective transferee. The franchisor may have additional conditions for granting consent.
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement on various grounds, including if the area developer defaults under the agreement [p.230], is disqualified as a developer [p.234], or engages in activities that constitute immediate termination of any related agreements [p.232]. Additionally, the franchisor may terminate the agreement at will for any legal reason [p.311].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The FDD mentions general financial resources required but doesn't provide specific details on net worth or liquid capital needed for qualification as a franchisee. [p.227, p.124]
Do I get an exclusive or protected territory?
No, you do not receive an exclusive territory. You will face competition from other franchisees, outlets owned by the company, and other channels of distribution or competitive brands controlled by them [p.43, p.47]. However, during the term of your Franchise Agreement, the company agrees not to grant another franchise, open a company- or affiliate-owned restaurant, or permit any Singas Famous restaurant to solicit sales within your Territory except for certain advertisements and promotions [p.43].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program at no additional charge, which must be completed by the franchisee or their Operating Principal and a manager. This training is conducted by designated personnel such as Peter Papadopoulos or Enrique Almela. The training materials are copyrighted and provided by the franchisor. While specific ongoing support details aren't detailed in these excerpts, it's implied that the franchisor may hold part of the initial training on-site at the franchisee’s business based on staff availability. [p.41]
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 if there is a reasonable basis for it and it is included in the disclosure document [p.60]. However, the franchisor does not make any representations about future financial performance of franchises or company-owned outlets [p.60], nor will they authorize their employees to do so either orally or in writing.
What am I restricted to selling, and where must I buy supplies?
You are required to sell specific products such as beer, wine, and liquor, and any other products or services that the franchisor has specifically authorized. You may have to buy or lease items from the franchisor or a limited group of suppliers designated by them, which could be more expensive than purchasing elsewhere [p.3].