About Perkins Restaurant and Bakery Franchise
Perkins Restaurant and Bakery is a full-service family-style restaurant franchise offering moderately priced meals including a broad menu of breakfast, lunch, and dinner entrees along with signature bakery products.
Franchisees operate a single-location restaurant serving customers for on-premises dining, personal carry-out, off-site catering, and delivery services.
The brand targets the general public with a focus on family dining, competing with other family-style restaurants, pancake houses, diners, and fast-service food operations.
Perkins Restaurant and Bakery Franchise Cost & Fees
Minimum Investment
$1.3M
Average Investment
$2.4M
Maximum Investment
$3.6M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 4.0% of Net Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 3.0% of Net Sales (may increase up to 4.0%; 1.0% for Non-Traditional Unit in Host Facility) | National brand fund |
| Total Investment Range | $1,313,890 – $3,581,375 | Includes build-out, inventory, working capital |
The investment range of $1.3M–$3.6M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4.0% of Net Sales) and marketing fee (3.0% of Net Sales (may increase up to 4.0%; 1.0% for Non-Traditional Unit in Host Facility)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Training Fee and Travel and Living Expenses While Training | $40,000 | $60,000 |
| Real Estate - Rent for First 3 Months | $20,000 | $60,000 |
| Improvements | $700,000 | $2,300,000 |
| Interest During Construction | $25,000 | $30,000 |
| Equipment and Seating | $350,000 | $650,000 |
| Signs and Decor | $35,000 | $82,000 |
| Site Plan/Engineering Drawings | $12,500 | $35,000 |
| Travel Expenses for Opening Guide Meeting | $0 | $750 |
| Smallwares, Small Equipment, Opening Inventory and Uniforms | $50,000 | $75,000 |
| POS System | $15,500 | $20,500 |
| Help Desk (total for first 3 months) | $215 | $375 |
| Hardware and Software Components - Computer Security | $5,000 | $7,000 |
| Other Computer and Technology Expenses (first 3 months) | $675 | $1,125 |
| Grand Opening Promotion | $5,000 | $15,000 |
| Miscellaneous Opening Costs | $45,000 | $55,000 |
| Additional Funds - 3 Months | $100,000 | $150,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 25% of then-current Initial Franchise Fee |
| Renewal Fee | 25% of then-current Initial Franchise Fee |
| Technology Fee | $349 to $500 per month (includes helpdesk at $850/year increasing to $1,500/year) |
| Audit Fee | Interest at 12% per annum or highest rate allowed by law if audit shows understatement of Net Sales of 1.5% or more |
| Local Advertising Requirement | 1.0% of Net Sales (may increase to 1.5%) |
| Management Fee (death/incapacity) | 8% of Net Sales |
| Liquidated Damages (breach/termination) | Greater of $300,000 or 3 years estimated royalties and marketing contributions |
| Non-Participation/Non-Reporting Fee | $100 first month, $200 second month, $300 third and subsequent months |
| Re-evaluation Fee | $350 per failed inspection beginning with second consecutive failure |
| Delinquent Report Fee | $10 per report per day late |
| Interest on Overdue Payments (non-rent) | 18% per annum or maximum legal rate |
| Interest on Overdue Rent | 5% per month on overdue amount |
| Extension of Opening Deadline | $5,000 per month ($2,500 for Non-Traditional Unit) |
| Fee for Closing During Required Hours | $1,000 per day |
| Rejected Payment Fee | $100 per occurrence plus actual costs |
| Lease Review Fee | Up to $2,500 |
| CrunchTime Labor Scheduling Tool | $250 per year |
| Customer Feedback Program | Approximately $265 per year (currently paid by Perkins) |
| Non-attendance at Conference Fee | $2,500 |
| Additional/Refresher Training | $300 per day |
| Securities Offering Fee | $10,000 or actual expenses, whichever is greater |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Up to 35 total days for operator/designated manager; up to 25 days each for up to 3 additional support managers; up to 21 days of pre-opening/opening on-site assistance |
| Classroom Training | 24 hours (New Restaurant Opening); 20 hours (Investor Training); 34 hours (Manager Training); 31 hours (General Manager Total including Manager Training) |
| On-the-Job Training | 100 hours (New Restaurant Opening); 8 hours (Investor Training); 100 hours (Manager Training); 250 hours (General Manager Total) |
| Training Location | Perkins Certified Training Restaurants and Company-Owned and/or Franchised Restaurants designated by Perkins; classroom training may be conducted virtually |
| Additional Training | ServSafe Certification required for all designated managers; annual or periodic system-wide or regional conferences (mandatory attendance, $2,500 non-attendance fee); additional refresher training at $300/day/trainer; LogBook program at approximately $131/year; Franchisee Orientation Program may be required in future |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected with significant limitations |
| Exclusive Territory | No |
| Territory Size | Approximately 0.5 miles for urban locations, 2 miles for suburban locations, up to 3 miles for locations beyond suburban areas; Non-Traditional Units receive no territory |
| Description | Perkins will not establish or license another Perkins Restaurant within the Territory during the franchise term. However, Perkins retains extensive rights including operating at Non-Traditional Sites within the Territory (airports, hotels, casinos, stadiums, etc.), operating other brands within the Territory, acquiring businesses within the Territory, and selling products through retail and wholesale channels. Territory may be reduced or eliminated if franchisee receives 3 or more default notices in any 12-month period. Territory size determined after site is proposed and accepted. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 20 years (10 years for Non-Traditional Unit) |
| Renewal Term | 10 years |
| Renewal Fee | 25% of then-current Initial Franchise Fee |
| Renewal Conditions | Must not be in default; must comply with all provisions during initial term; must execute then-current franchise agreement (may have materially different terms); must sign a release; must bring franchise up to current standards; must demonstrate right to possession of premises for renewal term; must give notice 6-12 months prior to expiration |
| Transfer Fee | 25% of then-current Initial Franchise Fee (exception: $0 if limited assignment to 100% owned entity within first year; $2,000 if to 51-99% owned entity within first year) |
| Transfer Conditions | Transferee must meet Perkins' qualification standards and complete training; price and terms must be reasonable; all obligations satisfied; operating deficiencies remedied; Unit must be open and operating; transfer fee paid; signing of then-current franchise agreement; general release required from transferor |
| Termination for Cause | Immediate termination without cure for: insolvency/bankruptcy; abandonment (3+ days in 90-day period); lease termination; terrorism law violations. Termination with notice but no cure for: failure to open by deadline; material misrepresentation; felony conviction; confidentiality breach; unauthorized transfer; 3+ defaults in 12 months. Termination with cure periods (3-10 days) for: failure to pay; failure to comply with laws; health/safety violations; cross-defaults; failure to meet standards. |
| Non-Compete Period | 2 years after later of termination/expiration, transfer, or cessation of operations |
| Non-Compete Details | No involvement in any Competitive Business (family-style restaurant, pancake house, breakfast buffet, diner, or table-service operation selling pancakes/waffles or deriving 25%+ of sales from sit-down breakfast items) within 5 miles of franchised premises or any other Perkins Restaurant then in existence or to be developed under executed agreements. During the term, no geographic limitation on non-compete. For Non-Traditional Units in Host Facilities with common ownership, restrictions limited to same Host Facility. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | Franchise must be operated by franchisee or a designated manager certified by Perkins. During first two months of operation, franchisee (if individual) or one owner with at least 10% equity must serve as on-premises designated manager for minimum 30 peak operating hours per week. Three designated managers must be certified before opening. Designated managers must complete all required training programs. Perkins recommends personal supervision by franchisee. |
| Required Suppliers | Franchisees must purchase all fixtures, furnishings, signs, equipment, inventory, uniforms, advertising materials, and supplies from approved or designated suppliers meeting Perkins' standards. Pancake mixes must be purchased from approved distributors (manufactured by Continental Mills, Inc. - sole approved source). Certain bakery items (muffin batter, cookies, pies) only available from Fairfield Gourmet Food Corp. Must use designated music delivery system, POS system, online ordering (Olo), and third-party delivery services. |
| Supply Restrictions | All items must meet Perkins' standards and specifications and be purchased from approved suppliers only. Unapproved supplier requests require written approval within 30 days or deemed disapproved. Perkins may require inspection of supplier facilities and testing of samples at franchisee's expense. Perkins may revoke supplier approval at any time. Estimated 75-80% of establishment purchases and 80-90% of operating purchases must be from designated/approved suppliers. |
| Franchisor Revenue from Suppliers | Perkins receives rebates from third-party suppliers ranging from approximately 1% to 10% of franchisees' purchases. During last fiscal year (May 2024 - April 2025), total rebates received from third-party suppliers based on franchisees' purchases were approximately $94,716. Perkins did not sell products directly to franchisees during last fiscal year. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | Perkins may finance a portion of the Initial Franchise Fee for franchisees with operational experience via a Promissory Note. The Note bears interest at a fixed annual rate not exceeding 14.5%, with principal and interest payable in 60 or fewer consecutive equal monthly installments. No prepayment penalty. Late fee of 5% if payment is more than 5 days late. If payment is more than 10 days late, entire balance may be called due. For Resale Units, Perkins may provide lease or sublease arrangements for premises, equipment, and signs. |
Perkins Restaurant and Bakery Franchise Earnings — Item 19
Average Revenue
$2.0M
Median Revenue
$1.9M
Revenue Range
$590K – $5.2M
Sample Size
247 units
Past financial performance does not guarantee future results. Individual results will vary.
Perkins Restaurant and Bakery Litigation & Risk Flags
2 Pending Actions ListedReview the full FDD for details on pending litigation.
Bankruptcy History DisclosedA bankruptcy disclosure is present in this FDD.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Perkins Restaurant and Bakery System Growth
Total Units
257
Franchised
175
Company-Owned
82
Perkins Restaurant and Bakery currently operates 175 franchised locations and 82 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 7 | 272 |
| 2023 | 0 | 9 | 263 |
| 2024 | 2 | 8 | 257 |
Transfers: 9 | Closures: 8
State Registrations
Registered in 13 states: CA, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$191.5M
Net Income
$-487,000
Total Assets
$173.6M
Perkins Restaurant and Bakery Franchise — FAQ
The total investment to open a Perkins Restaurant and Bakery franchise ranges from $1,313,890 to $3,581,375, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Perkins Restaurant and Bakery charges a royalty fee of 4.0% of Net Sales of gross sales, plus a 3.0% of Net Sales (may increase up to 4.0%; 1.0% for Non-Traditional Unit in Host Facility) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Perkins Restaurant and Bakery Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Perkins Restaurant and Bakery to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Perkins Restaurant and Bakery franchise owners report average revenue of $2.0M and median revenue of $1.9M. This is based on a sample of 247 units. Past performance does not guarantee future results.
Perkins Restaurant and Bakery has been franchising since 2020. The FDD shows an investment range of $1,313,890-$3,581,375, a 4.0% of Net Sales royalty, and includes an Item 19 earnings disclosure. There are 2 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $1,313,890 to $3,581,375 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Perkins Restaurant and Bakery and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Perkins Restaurant and Bakery or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com