Cannoli Kitchen Pizza logo

Cannoli Kitchen Pizza Franchise

Audited Financials
Food and BeverageEst. 2023West Palm Beach, FL
www.cannolikitchen.com

Risk Score

Pending analysis

Investment Range

$402,628 - $636,451

Franchise Fee

$29,500

Min Cash Required

$20,000

Total US Locations

6

Business Summary

Cannoli Kitchen Pizza operates quick service restaurants offering pizza, pasta, cannoli, and various other Italian-style food items to the general public. These restaurants provide a diverse menu of Italian cuisine in a fast-casual setting.

Corporate History

CK Franchising, LLC was formed as a Florida limited liability company on May 18, 2023. It began offering franchises in September 2023. Cannoli Kitchen Pizza operates quick-service restaurants specializing in Italian-style cuisine like pizza, pasta, and cannoli. Before the franchising operation began, an affiliate operated five similar restaurants, providing the foundation for the Cannoli Kitchen Pizza system.

Financial Overview

Investment Range

$402,628 - $636,451

Franchise Fee (Low)

$29,500

Franchise Fee (High)

$39,500

Minimum Cash Required

$20,000

Royalty %

6%

Marketing %

2%

Equipment Costs (Low)

$334,728

Equipment Costs (High)

$413,201

Working Capital

$30,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

CK Franchising, LLC's financial statements for the period ended December 31, 2023, show a net loss of $380,230 and negative member's equity of $280,230. The auditors provided an unqualified opinion, and management has evaluated that Cannoli Kitchen Pizza will be able to continue its operations on a going concern basis for at least the next twelve months from the date the financial statements were issued. The franchisor notes in its FDD that it is at an early stage of development with a limited operating history, which indicates a riskier investment than more established franchise systems.

Financing Details

Cannoli Kitchen Pizza does not offer any direct or indirect financing to franchisees. It also does not guarantee any franchisee's notes, leases, or other obligations.

Performance Metrics

Total US Locations

6

Franchised Units

0

Corporate Units

6

Avg Square Footage

1,300

Franchising Since

2023

Agreement Terms

Initial Term

35 years

Renewal Term

35 years

Renewal Conditions

To renew their franchise agreement, Cannoli Kitchen Pizza franchisees must provide advance notice, be in compliance with the current agreement, renovate their business to meet the then-current brand standards, sign the franchisor's then-current franchise agreement, and execute a general release (unless legally prohibited).

Training & Support Program

Franchisor Assistance

Cannoli Kitchen Pizza provides pre-opening assistance, including advice on establishing the business, site selection and lease negotiation support through an affiliate, prototype architectural drawings, and guidance on equipment installation. The franchisor also sells the initial equipment package, provides a list of approved suppliers, inspects the completed business, and offers initial training for up to two people (covering airfare, hotel, and one daily meal). Additionally, Cannoli Kitchen Pizza provides 10 days of on-site staff assistance for the business's opening and loans the operating manual along with other relevant written materials. Post-opening, franchisees receive details on system alterations, periodic visits with advice on various operational aspects (e.g., purchasing, product preparation, marketing), and free bulletins on sales and operating procedures. Telephone and electronic communication advice for equipment, software, and food service processes are also available, and franchisees can request a field/marketing representative for additional assistance for a fee.

Initial Training Hours

240

Training Location

West Palm Beach, Florida

Ongoing Support

Cannoli Kitchen Pizza provides franchisees with details of any system alterations or improvements. They periodically visit the business to offer advice on purchasing, storage, product display, preparation, and sales of approved products and services. This also includes guidance on new products, equipment operation, advertising, administrative procedures, menu pricing, and overall business efficiency and cleanliness. Franchisees can request a field/marketing representative for assistance for a fee, and the franchisor sends free bulletins on sales, service, and operating procedures. Additionally, Cannoli Kitchen Pizza offers advice on equipment, computer hardware/software, and food service processes via telephone and electronic communication.

Franchise Requirements

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

retail

Owner Participation

Supervisory

Territory Type

Non-Exclusive

Territory Size Requirements

Cannoli Kitchen Pizza's Designated Marketing Area for each restaurant is non-exclusive and will vary in size, defined by population and business counts using demographic factors. The boundaries are determined and revised periodically by the franchisor using geographic markers such as cities, counties, zip codes, streets, highways, or natural boundaries.

Staffing Notes

Cannoli Kitchen Pizza requires that either the franchisee or a trained general manager devote full-time and best efforts to the business. At least two individuals in the business (potentially including the franchisee and/or general manager) must complete Level 2 training and work a combined total of 12 shifts each week. All employees are required to complete current and future training programs designated by the franchisor. Franchisees are solely responsible for hiring, supervising, compensating, and training their employees, and must ensure employees preserve good customer relations and provide competent service. The franchisor may specify minimum staffing levels, certified manager training, and uniform dress codes through Brand Standards. General managers are prohibited from having an interest in or working for any other restaurant or food-related business.