Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

  • Anytime Fitness
  • CruiseOne
  • Firehouse Subs
  • Jimmy John's
  • Massage Envy
  • Menchie's
  • Orange Leaf Frozen Yogurt
  • Planet Fitness
  • The UPS Store
  • Yogurt Land
  • And Hundreds More...

No, thanks. I'm not interested in uncovering the actual earnings of hundreds of franchises at this time.

Franchise Costs: Detailed Estimates of Denny’s Franchise Costs (2017 FDD)

by Franchise Chatter on July 26, 2015

in Casual-Dining Restaurant Franchise, Franchise Costs

Franchise Chatter Membership Information

Don't Invest in a Franchise Until You Check Out This List

Denny's Franchise Photo by AnnaleeBlysse

This post was updated on July 9, 2017 to reflect information from Denny’s 2017 FDD (Item 7).

Detailed Estimates of Denny’s Franchise Costs Based on Item 7 (Estimated Initial Investment) of Denny’s 2017 Franchise Disclosure Document

For a Denny’s Heritage Prototype Facility

1.  Initial Franchise Fee:  $0 to $40,000

2.  Site Improvements:  $0 to $300,000

3.  Building and Improvements:  $700,000 to $1,100,000

  • The Heritage prototype is approximately 4,200 square feet with 150 seats. This building is scalable and can expand to 5,200 square feet with 220 seats or reduced to 3,400 square feet with 115 seats. Heritage requires roughly 1 acre of real estate with 50 to 75 automobile parking spaces. The interior uses Denny’s new Heritage design image.
  • Real estate may range from $300,000 to $1,500,000 or more. If you convert an existing building, the cost may vary from $500,000 to $1,200,000, plus the cost of purchasing or leasing the building.
  • The cost of purchasing real estate, or the capitalized value of the lease on existing land and building, may vary from $400,000 to $2,000,000.

4.  Architectural Design:  $40,000 to $90,000

5.  Equipment, Fixtures, and Furnishings:  $25,000 to $550,000

6.  Signs:  $35,000 to $90,000

7.  Dine POS System:  $20,000 to $40,000

  • Includes cost of installation and training.

Subtotal (Building and Equipment):  $1,220,000 to $2,210,000

8.  Opening Inventory and Supplies:  $17,000 to $28,000

  • Includes non-ingredients and initial food inventory.

9.  Opening Advertising:  $3,000 to $5,000

10.  Opening Menus:  $425 to $541

11.  Opening Gift Cards:  $34

  • Gift Cards and Gift Card Carriers are packaged in boxes of 250 cards. The current cost is $34 per box. The cost of shipping is extra.

12.  New Restaurant Opening Team:  $0 to $17,500

  • This amount does not include airfare.

13.  Security Deposits:  $10,000 to $15,000

14.  Insurance:  $15,000 to $20,000

15.  Permits:  $5,000 to $100,000

16.  Additional Funds – 3 Months:  $80,000 to $150,000

  • You will need capital to support ongoing expenses, such as payroll and utilities, to the extent that these costs are not covered by sales revenue.

17.  Total Estimated Initial Investment (exclusive of land):  $1,350,459 to $2,546,075

  • Denny’s relied upon over 60 years of experience in the restaurant business to compile these estimates.

For a Den by Denny’s

  • The total estimated initial investment necessary to begin operation of a Den by Denny’s Restaurant ranges from $228,000 to $632,500.
  • The Den by Denny’s can range from a counter to 2,500 square feet and is designed for a multi-use or free-standing building.

For a Denny’s Travel Center

  • The total estimated initial investment necessary to begin operation of a Denny’s Travel Center (new construction) ranges from $995,459 to $1,516,075.
  • Denny’s Travel Center is approximately 4,000 square feet (140 seats), with parking provided by the travel center.

Franchise Matching Quiz

Franchise Matching Quiz

{ 0 comments… add one now }

Leave a Comment

Previous post:

Next post: