About Huddle House Franchise
Huddle House is a classic American diner franchise serving breakfast, lunch, and dinner in a warm, community focused setting.
Franchising since 1966, the brand has been a neighborhood gathering place for decades, known for generous portions, home style cooking, and an inviting atmosphere that welcomes guests at any time of day.
The initial franchise fee is $2,000.
Huddle House Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $2,000 | One-time payment upon signing |
| Royalty Fee | 4.75% of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | This amount may increase to an amount not to exceed 4% of Net Sales, although it | National brand fund |
| Total Investment Range | $555,375 – $2,381,275 | Includes build-out, inventory, working capital |
The investment range of $555K–$2.4M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4.75%) and marketing fee (This amount may increase to an amount not to exceed 4% of Net Sales, although it) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Development Fee1 | $52,500 | $70,000 |
| Professional Fees2 | $2,500 | $2,500 |
| Totals3 | $55,000 | $72,500 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 4.75% of the Net Sales |
| Renewal Fee | 25% of the then- current Initial Franchise Fee |
| Technology Fee | $25 |
| Audit Fee | Payable if an audit of your books shows an understatement of your Net Sales that |
| Interest on Rent | 5% per month on overdue amount |
| Interest on Payments (other than rent) | Lesser of 18% (per annum) per annum or maximum legal rate |
| Management | 8% of the Net Sales |
| Liquidated Damages -- Breach and Termination | $145,000 |
| Food and Supplies | $1,000 |
| Central Billing Fee | In connection with program and services that we designate as generally required |
| Non-Participation/Non- Reporting Fee | $100 |
| Re-evaluation Fee | $350 |
| Delinquent Report | $10 |
| HHI Performance | Reimbursement of amount plus 12% interest (or highest rate allowed by law if to |
| Additional or Refresher Training and Orientation (Separate from Initial Training | $300 |
| Extension of Opening Deadline or Deadline in Development Schedule3 | $5,000 |
| Extension of Term of Development Agreement | $5,000 |
| Addition to Security Deposit | $7,500 |
| Fee for Closing During any Required Hours of Operation | $1,000 |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | exclusive |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Renewal Term | If you have complied with the Franchise Agreement and meet other conditions at the time of each renewal date, you can renew for up to three 5-year terms |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Does not offer financing. |
Huddle House Franchise Earnings — Item 19
Huddle House does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Huddle House Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Huddle House System Growth
Huddle House currently operates 231 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 231 | ||
| 2022 | 55 | ||
| 2022 | 286 | ||
| 2023 | 216 | ||
| 2023 | 56 | ||
| 2023 | 272 | ||
| 2024 | 212 | ||
| 2024 | 57 | ||
| 2024 | 269 |
Huddle House Franchise — FAQ
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