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Pizza Forum Franchise

Audited Financials
Food and BeverageEst. 1969Muncie, IN

Risk Score

Pending analysis

Investment Range

$258,000 - $983,500

Franchise Fee

$18,500

Min Cash Required

$15,000

Total US Locations

40

Business Summary

Pizza Forum or Greek's Pizzeria operates casual, family-oriented food establishments that primarily offer a specialized menu of pizza, pasta, wraps, sandwiches, salads, and assorted beverages, including beer and wine. These locations feature a unique proprietary amusement enclosure designed for adults and children, emphasizing an appealing environment for families and friends. The business focuses on eat-in customers, with carry-out also available, and locations are typically destination-oriented, ranging from 7,000 to 8,000 square feet and seating 150 to 200 patrons.

Corporate History

Pizza Forum LLC was formed by Athanasios (Chris) Karamesines, building upon his extensive experience in the pizza and pasta business. Mr. Karamesines originally established Greek's Pizzeria in 1969, which was later incorporated in Indiana in 1977. He secured the first franchise registration for Greek's Pizzeria in 1978. Pizza Forum LLC itself received its initial franchise registration in Indiana in 1994. Mr. Karamesines managed the Muncie Greek's Pizzeria from 1978 until 2004 and now oversees all Pizza Forum/Greek's Pizzeria operations as the sole member and manager of Pizza Forum LLC.

Financial Overview

Investment Range

$258,000 - $983,500

Franchise Fee (Low)

$18,500

Franchise Fee (High)

$18,500

Minimum Cash Required

$15,000

Royalty %

5%

Marketing %

1%

Equipment Costs (Low)

$199,000

Equipment Costs (High)

$865,000

Working Capital

$17,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Pizza Forum LLC's auditors issued an unqualified opinion on the consolidated financial statements, indicating that they are presented fairly. However, the notes to the financial statements highlight significant concerns regarding the company's liquidity, as its current liabilities exceeded current assets by $766,801 at the end of 2023 and $235,970 at the end of 2022. These conditions have led to substantial doubt about Pizza Forum LLC's ability to continue operating as a going concern. Management plans to address these issues by increasing sales through franchise expansion and company store growth, reducing operating expenses, and securing additional debt or equity financing.

Financing Details

Pizza Forum LLC does not offer any direct or indirect financing options to its franchisees. The company also does not guarantee any leases, notes, or other financial obligations that franchisees may incur.

Performance Metrics

Total US Locations

40

Franchised Units

40

Corporate Units

0

Avg Square Footage

7,500

Franchising Since

1994

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew their Pizza Forum franchise for an additional ten-year term, franchisees must provide written notice between six and nine months before the current term expires. They are required to renovate and modernize their premises to meet the company's then-current standards, ensure they are not in default of any agreements, and have satisfied all monetary obligations. Franchisees must also prove their right to continue possessing the approved location, sign the then-current franchise agreement (which may include higher royalty and advertising fees), pay a renewal fee equal to 81.5% of the initial franchise fee (payable in 30 monthly installments), sign a general release (with an exception for Indiana Code 23-2-2.7), and comply with current qualification and training requirements, though initial training is not re-required.

Training & Support Program

Franchisor Assistance

Pizza Forum provides various types of assistance to its franchisees. Before opening, the company offers site selection guidelines, on-site evaluations for proposed locations (after receiving necessary documentation and a letter of intent), and an initial training program for one individual. For an additional fee, Pizza Forum can provide a schematic layout for the franchisee's architect and will offer on-site pre-opening and opening supervision. Franchisees also receive a copy of the Confidential Operating Materials and information on approved suppliers. Ongoing support includes periodic advice and written materials on operations and new developments, updates to the operating manual, quality control inspections, and the sale of promotional materials at cost. Franchisees contribute 1% of gross sales to a National Advertising Fund (when established) and must spend 3% locally, with a portion potentially directed to regional cooperatives. Additionally, Pizza Forum has an open-door policy, allowing franchisees to call headquarters with questions or concerns, and provides refresher training courses for a fee.

Initial Training Hours

106

Training Location

Muncie, IN or on-site

Ongoing Support

After opening, Pizza Forum franchisees receive continuing advice and written materials on managing and operating their business, including new developments in equipment and food preparation. The franchisor loans copies of its Confidential Operation Materials, which may be updated periodically. Pizza Forum conducts inspections and evaluations as it deems advisable to maintain quality standards and sells point-of-purchase and promotional items at cost plus overhead. Franchisees are permitted to purchase proprietary sauces, doughs, and mixes. An open-door policy allows franchisees to contact headquarters for support, and they or their staff may be required to attend refresher courses and seminars, for which fees may apply.

Franchise Requirements

Ideal Candidate Profile

Pizza Forum or Greek's Pizzeria seeks franchisees who will provide direct, day-to-day, full-time supervision of their business. If the franchisee chooses to hire a General Manager, that manager must be full-time and have satisfactorily completed the franchisor's training program, while the franchisee must remain actively involved in overseeing operations. Ideal candidates should possess strong business abilities, aggressiveness, and effort. The business also requires that at least one key management staff member (either the general manager or a manager) has one year of experience in the casual dining business.

Industry Experience Required

Yes

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Min Years Experience

1

Operational Details

Location Type

retail

Owner Participation

Supervisory

Territory Type

Limited

Staffing Notes

Pizza Forum requires the franchisee to maintain a competent, conscientious, and trained staff. This includes having a fully-trained, full-time manager and a general manager on the payroll at all times, with at least one of them possessing one year of experience in the casual dining business. Any employee, officer, director, or equity owner exposed to confidential materials or attending training must sign a Covenants Agreement to maintain confidentiality. The franchisor also provides training for various roles, including Production, Food Prep, Line Cooking, Server, Host/Server, and Maintenance, indicating a typical restaurant operational structure.