Gatti’s Pizza Franchise FDD, Profits & Costs (2025)
Gatti’s Pizza, a well-loved American franchise, has been serving delicious pizzas since 1969. Founded by Colonel Eure Jr. and his wife, Bobbie, in Stephenville, Texas, the pizzeria quickly became known for its unique and flavorful pizzas.
In 1974, Gatti’s Pizza expanded by offering franchise opportunities, enabling entrepreneurs across the country to share their signature pizzas with local communities.
Today, with its headquarters in Fort Worth, Texas, Gatti’s Pizza has flourished into a thriving franchise that offers much more than just pizza. Their diverse menu features a variety of pizzas, pasta, salads, and tempting desserts.
What sets Gatti’s Pizza apart from other pizza chains is its commitment to using high-quality ingredients, providing exceptional customer service, and creating a fun, family-friendly dining experience. This dedication has made Gatti’s Pizza a go-to destination for pizza lovers and families, embodying the essence of classic American dining.
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Initial Investment
How much does it cost to start a Gatti’s Pizza franchise? It costs on average between $2,186,000 – $3,661,000 to start a Gatti’s Pizza franchised restaurant.
This includes costs for construction, equipment, inventory, and initial operating expenses. The total investment can vary based on several factors, such as the type of location you select, the specific area, and whether the franchisee decides to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Reimbursement for Site Evaluation Analysis | Varies |
| Real Estate and Site Improvements | Varies |
| Construction Costs | $1,287,000 – $2,000,000 |
| Furniture, Fixtures, and Equipment Package (excluding IT equipment and games) | $261,733 – $570,000 |
| IT Equipment and Point-of-Sale Systems | As negotiated |
| Interior and Exterior Artifacts and Graphics/Signage | $28,000 – $73,000 |
| Games | $402,040 – $725,000 |
| Architectural Fees | $25,000 – $75,000 |
| Subtotal for Capital Items Only | $2,003,773 – $3,443,000 |
| Initial Franchise Fee | $50,000 |
| Insurance Coverage | As negotiated |
| Initial Training Cost | $10,000 – $20,000 |
| Initial Advertising and Grand Opening | $30,000 |
| Beginning Inventory (including paper products and plush inventory) | $25,000 – $32,000 |
| Change Fund | $5,000 |
| Pre-Opening Labor | $36,000 – $45,900 |
| Additional Funds (3 months) | $30,000 – $35,000 |
| Total for a Single Mr. Gatti’s FEC Franchise Agreement | $2,185,973 – $3,660,900 |
Average Revenue (AUV)
How much revenue can you make with a Gatti’s Pizza franchise? A Gatti’s Pizza franchised restaurant makes on average $2,505,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
This compares to $970,000 yearly revenue for similar pizza franchises. Below are a few Gatti’s Pizza competitors as a comparison:
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Gatti’s Pizza Franchise Disclosure Document
Frequently Asked Questions
How many Gatti’s Pizza locations are there?
As of the latest data, Mr. Gatti’s Pizza operates 68 locations, with a combination of company-owned and franchised establishments.
What is the total investment required to open a Gatti’s Pizza franchise?
The total investment required to open a Gatti’s Pizza franchise ranges from $2,186,000 to $3,661,000.
What are the ongoing fees for a Gatti’s Pizza franchise?
Gatti’s Pizza franchisees are required to pay a royalty fee set at 8% of gross sales. Additionally, there is a marketing of 2% which typically includes contributions to local marketing efforts as well as a national advertising fund. These fees help support both the brand’s national marketing initiatives and local promotional activities.
What are the financial requirements to become a Gatti’s Pizza franchisee?
To become a Gatti’s Pizza franchisee, the minimum net worth requirement is $500,000, with at least $250,000 in liquid capital. These financial requirements ensure that franchisees have the necessary financial resources to cover startup costs, including construction, equipment, inventory, and initial operating expenses, while also maintaining the ability to manage the business and ensure its growth and success.
How much can a Gatti’s Pizza franchise owner expect to earn?
The average gross sales for a Gatti’s Pizza franchise are approximately $2.51 million per location. Assuming a 15% operating profit margin, $2.51 million yearly revenue can result in $377,000 EBITDA annually.
Who owns Gatti’s Pizza?
Gatti’s Pizza franchise is owned by Gatti’s Pizza, Inc., a private company. The brand operates under the leadership of a group of investors, with its headquarters located in Fort Worth, Texas.
Disclaimer
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