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Investment Range
$1,618,375 - $3,056,875
Franchise Fee
$30,000
Royalty
4.5%
Marketing Fee
3%
Total Units
1,334
Median Revenue
—
AI Summary
Denny's is a highly established, legacy full-service restaurant franchise operating for 66 years under DFO, LLC, offering traditional dining and modern formats like "Diner 2.0" and virtual brands. Initial investment requires a non-refundable $30,000 franchise fee for a traditional unit, alongside significant ongoing weekly fees including a Royalty (4.5% to 7% of Gross Sales) and a Brand Building Fund contribution (3% to 3.25% of Gross Sales). While the management team is highly experienced, prospective franchisees should be aware of the pending material litigation involving a contract dispute with an existing franchisee.
Unit Growth
2022
1,445
2023
1,407
2024
1,334
Initial Investment Breakdown
| Category | Low | High |
|---|---|---|
| Initial Franchise Fee² | $30,000 | $30,000 |
| Site Improvements | $50,000 | $500,000 |
| Building and Improvements³ | $950,000 | $1,500,000 |
| Architectural Design and Engineering⁴ | $30,000 | $60,000 |
| Equipment, Fixtures and Furnishings | $350,000 | $450,000 |
| + 11 more categories (apply to see all) | ||
| TOTAL INVESTMENT | $1,618,375 | $3,056,875 |
Financial Performance Data
Access detailed revenue metrics, expense breakdowns, and profitability data from the Item 19 Financial Performance Representation.
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Apply for Free AccessIs Denny's a Good Investment?
Based on the FDD data, here are key factors to consider when evaluating a Denny's franchise opportunity:
Potential Advantages
- •Established brand with 1,334+ locations nationwide
- •Competitive royalty fee of 4.5%
- •Financial Performance Representation (Item 19) available for review
Considerations
- •Declining unit count may indicate market challenges
- •Litigation history disclosed in FDD (review Item 3 carefully)
- •Bankruptcy history disclosed in FDD (review Item 4 carefully)
- •Higher initial investment requires significant capital
Disclaimer: This analysis is based on publicly available FDD data and should not be considered financial advice. Always consult with a franchise attorney and accountant before making any investment decision.
Frequently Asked Questions About Denny's
How much does a Denny's franchise cost?
The total initial investment for a Denny's franchise ranges from $1,618,375 to $3,056,875. This includes the franchise fee, equipment, inventory, real estate, and other startup costs as disclosed in the FDD.
What is the Denny's franchise fee?
The initial franchise fee for Denny's ranges from $30,000 to $30,000.
What are the ongoing fees for a Denny's franchise?
Denny's franchisees pay a 4.5% royalty fee and a 3% marketing/advertising fee on an ongoing basis.
How many Denny's franchise locations are there?
Denny's currently operates 1,334 franchise locations. This includes both franchised and company-owned units.
Quick Facts
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