Singas Famous Pizza logo

Singas Famous Pizza Franchise

Audited Financials
Food and BeverageEst. 2004Colonia, NJ
www.singaspizzas.com

Risk Score

Pending analysis

Investment Range

$257,000 - $814,800

Franchise Fee

$20,000

Min Cash Required

$20,000

Total US Locations

27

Business Summary

Singas Famous operates fast casual restaurants that offer a variety of Italian food items. Their menu includes specialty pizzas, sandwiches, salads, pastas, chicken wings, and both hot and cold beverages. Singas Famous restaurants provide dine-in, take-out, and delivery services, and franchisees are also required to sell beer and wine.

Corporate History

Singas Pizza & Restaurant LLC, operating as Singas Famous, was formed in New Jersey in January 2022. In April 2022, Singas Pizza & Restaurant LLC acquired the franchise assets of Singas Famous Pizza & Restaurant Corp., its predecessor. The predecessor company, Singas Famous Pizza & Restaurant Corp., a New York corporation, was originally formed in March 2004 and had been offering franchises under the Singas Famous name since that time. At the time of the acquisition, the predecessor had 17 open franchises.

Financial Overview

Investment Range

$257,000 - $814,800

Franchise Fee (Low)

$20,000

Franchise Fee (High)

$30,000

Minimum Cash Required

$20,000

Royalty %

5%

Equipment Costs (Low)

$150,000

Equipment Costs (High)

$575,000

Working Capital

$30,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Singas Famous's financial statements for December 31, 2023, and December 31, 2022, received an unqualified opinion from independent auditors, indicating that the financial position, results of operations, and cash flows are presented fairly in all material respects according to generally accepted accounting principles. As of December 31, 2023, Singas Famous had current assets of $138,842 and current liabilities of $135,495, resulting in positive working capital. The company has a significant SBA loan of $3,666,000 to finance its acquisition, with an outstanding balance of $1,585,300 as of December 31, 2023. The auditors did not identify any conditions that raise substantial doubt about Singas Famous's ability to continue as a going concern in their opinion.

Financing Details

Singas Famous does not offer any direct or indirect financing to its franchisees. Additionally, Singas Famous does not guarantee any notes, leases, or obligations of its franchisees, nor does it intend to sell, assign, or discount any part of a franchisee's financing arrangement to a third party.

Performance Metrics

Total US Locations

27

Franchised Units

24

Corporate Units

3

Avg Square Footage

2,600

Franchising Since

2004

Agreement Terms

Initial Term

10 years

Renewal Term

5 years

Renewal Conditions

Singas Famous franchisees have the right to renew for one additional five-year term if they meet certain conditions. These conditions include: Singas Famous must be offering franchises in the area; the franchisee must have substantially complied with all terms of their franchise agreement; the franchisee must sign the then-current franchise agreement, which may have materially different terms; they must bring the franchised business into full compliance with current standards, including refurbishing the restaurant and installing new equipment; they must meet any new training requirements; all monetary obligations to Singas Famous, its affiliates, and suppliers must be satisfied; the franchisee must execute a general release of claims against Singas Famous; provide 6 to 9 months' written notice of intent to renew; maintain all necessary licenses and permits, including for beer and wine sales; enter into a lease for the location for the successor term; and pay a successor agreement fee of $10,000.

Training & Support Program

Franchisor Assistance

Before opening, Singas Famous designates the franchisee's territory and reviews architectural drawings and lease agreements for compliance. The franchisor may also conduct on-site evaluations for proposed locations, with the franchisee covering the costs. Singas Famous provides initial training for two individuals, loans a copy of the Confidential Operating Manual, sets minimum insurance policy limits, and shares confidential recipes. After opening, Singas Famous invites franchisees to meetings and continues to establish and enforce system standards. It loans the updated operating manual and provides new recipes. Optionally, Singas Famous may conduct marketing and advertising activities, review franchisee-developed advertising materials, offer periodic counseling and field support, and provide additional training for a fee. They may also provide guidance on new products, purchasing, marketing, financial records, and employee relations.

Initial Training Hours

60

Training Location

Affiliate-owned restaurants in Charlotte, North Carolina, or Long Island City, New York, or another designated facility.

Ongoing Support

After the initial opening, Singas Famous invites franchisees to meetings with other owners and personnel, and continuously establishes and enforces system standards. Singas Famous loans updated copies of the Confidential Operating Manual and provides new recipes. It also recommends pricing guidelines for products and services. Optionally, Singas Famous may conduct or design advertising and marketing campaigns, review franchisee-created advertising materials, and provide ongoing counseling, which can be individual or group sessions, delivered in person, via phone, seminars, newsletters, or an intranet. They may also offer field support services, additional training for a fee, and provide updated lists of approved suppliers and products. Further guidance is available on new products, purchasing, marketing, financial record keeping, employee relations (hiring, training, retention), and other general operational matters.

Franchise Requirements

Ideal Candidate Profile

Singas Famous seeks individuals who are interested in opening single-unit franchises or who qualify as Area Developers with the ability to open multiple locations. Area Developers must satisfy specific financial criteria. For single-unit franchisees, Singas Famous recommends and may require the franchisee or their appointed Operating Principal to personally oversee the daily activities of the restaurant. If direct personal supervision is not undertaken, the franchisee must employ a full-time manager who is exclusively responsible for on-premises operations, has completed the training program, and is reasonably qualified to manage such a business. All franchisees must appoint an Operating Principal as the main contact with Singas Famous.

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Retail

Owner Participation

Absentee Allowed

Territory Type

Limited

Territory Size Requirements

Singas Famous territories are assigned based on factors such as specific zip codes, counties, or other natural boundaries. The size and shape of the territory are determined by Singas Famous at its sole discretion, considering factors like population density, existing restaurants, market demand, potential customer base, access, visibility, and traffic patterns. In some cases, the minimum territory granted may simply be the franchisee's business location without any broader geographic protection.

Staffing Notes

Singas Famous requires that its franchised restaurants always be under the direct, on-premises supervision of the franchisee, their Operating Principal, or a manager approved by Singas Famous. This manager must have successfully completed all required training. The franchisee, Operating Principal, and manager are not allowed to be actively involved in any other business during the restaurant's operating hours without prior written consent from Singas Famous. Franchisees are also obligated to maintain a competent, conscientious, and well-trained staff of the highest caliber, with detailed staffing standards outlined in the Confidential Operating Manual.