Villa Pizza
Villa Pizza offers franchises for pizza, pasta, and Italian cuisine restaurants, including Villa Pizza and Tony + Benny's concepts. Known for its diverse menu options, this franchise operates in the quick-service restaurant sector.
Villa Pizza franchise FAQ
How much does it cost to open one — the total initial investment?
The minimum total initial investment to begin operation as an Area Developer, assuming a minimum of two restaurants being developed in the Continental U.S., is $72,500 - $110,000 for the Villa and Tony + Benny's concepts. This includes a $25,000 initial franchise fee per location (with higher fees outside the Continental U.S.). For an in-line restaurant within the Continental U.S., the total investment is $435,900 - $1,016,000, which also covers the initial franchise fee. This isn't specified for a single location without considering the area development agreement for at least two locations.
What is the initial franchise fee?
The initial franchise fee varies depending on the location; it is $25,000 outside the Continental United States (Alaska, Hawaii & U.S. Territories) and $35,000 within them [p.14]. Additionally, there's a special discount of 20% off this fee for U.S. Military Veterans [p.19, p.21].
What are the ongoing royalty and advertising fees?
The ongoing fees include a 6% royalty fee that is not refundable under any circumstances [p.79]. Additionally, there is an optional Advertising Fund where Franchisees contribute up to 3% of their gross revenue on Tuesday of each week if notified 30 days in advance by the Franchisor [p.79, p.48].
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts.
Can I sell or transfer my franchise, and what does that require?
You can transfer ownership of your franchise, but the franchisor has the right to refuse a transfer for good cause [p.6]. Additionally, you must pay a $10,000 transfer fee unless the franchisor exercises its right of first refusal to purchase the franchise [p.89].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement on any grounds available by law [p.204]. However, under Virginia law, termination without reasonable cause is unlawful [p.229], and provisions for termination must comply with the definition of "reasonable cause" as per the Virginia Retail Franchising Act or Virginia laws. Additionally, the franchisor can terminate upon notice if the franchisee fails to comply with lawful provisions of the agreement and does not cure such failure within a reasonable time [p.6].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The provided FDD focuses on working capital estimates for the first three months of operations but does not detail specific net worth or liquid capital requirements for qualifying as a franchisee.
Do I get an exclusive or protected territory?
No, you do not receive an exclusive territory. You may face competition from other Villa Pizza, Villa Fresh Italian Kitchen, Villa Italian Kitchen, and Tony + Benny's restaurants owned by the franchisor or other franchisees, including in your vicinity. The Franchise Agreement does not provide any options, rights of first refusal, or similar rights to acquire additional franchises [p.36].
What training and ongoing support does the franchisor provide?
The initial training program includes hands-on training covering various aspects of restaurant operations such as food preparation, equipment maintenance, and management techniques. This training is typically conducted at a Villa Pizza or Villa Fresh Italian Kitchen restaurant for about three to five weeks before opening the franchise. Additionally, ongoing support involves attending additional training programs, sales meetings, operations meetings, and conventions as directed by the franchisor, though these may come with associated fees [p.67].
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 does not project sales, costs, profits, or provide financial performance information for its franchised restaurants except through a historic financial performance representation. If you are considering purchasing an existing outlet, the franchisor may provide actual records of that specific outlet's performance upon request [p.49]. This isn't specified in the excerpts for new franchises.
What am I restricted to selling, and where must I buy supplies?
You are required to sell all food, menu items, and other products and services as specified by the franchisor [p.41]. You must purchase or lease certain items from suppliers designated by the franchisor, which may be more expensive than alternatives [p.4], and you can only use supplies approved in writing by the franchisor for your restaurant operations [p.26].