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Noble Roman's Franchise Cost & Fees

Date of Incorporation: 1972

Franchising Since: 1997

Headquarters:Indianapolis, Indiana

 

Business Description: The franchisor is Noble Roman's, Inc. The franchisor sells and services franchises and licenses for non-traditional and traditional foodservice operations under the trade names “Noble Roman's Pizza,” “Noble Roman's Take-N-Bake,” and “Tuscano's Italian Style Subs.” The hallmark of Noble Roman's Pizza is “Superior quality that our customers can taste.” Every ingredient and process has been designed with a view to produce superior results. The franchisor has developed a take-n-bake version of its pizza as an addition to its menu offerings.

 

Financial Offer: The franchisee will operate a Noble Roman's Pizza franchise. The franchise is offered for non-traditional locations such as universities, hospitals, recreational facilities, convenience stores and other types of locations with pre-existing customer traffic or for traditional stand-alone Noble Roman's restaurants.

 

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation.

 

Training and Assistance: For non-traditional locations, not later than the opening date of the Noble Roman's, the Manager of the facility must attend and complete, to the franchisor’s satisfaction, the initial on-the-job training program, which is a program consisting of subjects which the Company deems appropriate for operation of the franchised businesses. On-the-job training is conducted at the location over a period of three to seven days. The training is extended, where necessary, in the Company's sole discretion. For traditional locations, prior to the opening date, the franchisee and/or his/her approved Manager will be required to attend a two-week training program in Indianapolis, Indiana. In addition to the two-week training program in Indianapolis, Indiana, the franchisee and/or his/her approved manager must attend and complete, to the franchisor's satisfaction, the on-the-job training program. On-the-job training is conducted at the franchisee’s location over a period of seven to 14 days. The training is extended, where necessary, in the franchisor's sole discretion. In connection with the opening of the franchised unit, the franchisor shall provide to the franchisee, free of charge, an opening trained representative of the franchisor to provide on-site pre-opening and opening training, supervision and assistance to the franchisee. The time period for which such assistance will be provided shall be determined by the franchisor.

 

Territory: The Franchise Agreement authorizes the franchisee to operate one Noble Roman's franchise at one specific location that is pre-approved by the franchisor. Franchisees are not restricted from accepting orders from outside of their territory if the orders are filled within the franchised businesses. Franchisees will not receive an exclusive territory.

 

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. Upon expiration of the initial term, if the franchisee is in good standing, he/she can renew for a term of five years.

 

Obligations and Restrictions: Upon the execution of the Franchise Agreement, the franchisee shall designate and retain an individual to serve as the General Manager of the Noble Roman's franchise. The General Manager must attend an initial training session in the franchised business as determined by the franchisor. The franchisee must sell, and may only sell, those products designated in the Manual from time to time as being included in the Noble Roman's menu, and which meets the quality standards detailed in the Manual.

 

Estimated Number of Units: 1,800

 

Investment Tables:

Initial Investment:

Name of Fee Low High
Initial Franchise Fee $6,000 $15,000
Uniforms and Inventory $3,500 $7,500
Marketing Package $1,500 $5,000
Initial Training Expenses $200 $2,500
Smallwares $900 $3,000
Equipment $11,000 $100,000
Interior Signs $1,800 $3,000
Exterior Signs $0 $12,000
Remodeling Costs $500 $125,000
Additional funds - 3 months $1,000 $50,000
Total Estimated Initial Investment $26,400 $323,000

  

Ongoing Fees:

Type of Fee Amount
Royalty Fee 7% of gross sales for all locations except hospitals which are 9%
Marketing Fee 3% of gross sales for traditional quick service restaurant locations. No marketing fee is collected for all non-traditional locations.
Renewal Fee $2,000
Transfer Fee $2,000
Manual Replacement Fee $500
Audit Fee Cost of audit plus up to 10% interest

Date of FDD: 2015

The above information has been compiled from the FDD of Noble Roman's.
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