FRANCHISE·WATCH·DESK

ITEMS 5–7 · 2025 FDD

How much is a Perkins Restaurants franchise?

Per Perkins Restaurants's 2025 FDD, the initial franchise fee is $40,000 (Item 5) and the total initial investment runs $1.3M–$3.6M (Item 7); once open, you pay an ongoing royalty of 4.0% of gross sales (Item 6).

Franchise fee · Item 5

$40,000

one-time, to buy in

Royalty · Item 6

4.0%

of gross sales, ongoing

Total investment · Item 7

$1.3M–$3.6M

franchisor's own estimate

Perkins Restaurants vs food & dining medians186 systems benchmarked
Cost linePerkins RestaurantsSector median
Initial franchise fee ITEM 5$40,000$35,000
Ongoing royalty ITEM 64.0%5.5%
Total initial investment ITEM 7$1.3M–$3.6M$375K–$957K

MEDIANS: LATEST FDD FILINGS (≤24 MONTHS OLD) OF 186 FOOD & DINING SYSTEMS · FULL FOOD & DINING BENCHMARK →

Breakeven framingwhat it costs · what it drags

The buy-in is the smaller number. The larger one is the drag: 4.0% of every sale leaves before rent, labor, or your salary — so breakeven depends on volume you cannot know from the FDD; use the Item 19 figures as a starting point, not a promise.

To open (Item 7)

$1.3M–$3.6M

all-in investment range

Franchise fee (Item 5)

$40,000

upfront, one-time

Royalty (Item 6)

4%

of sales, ongoing

If a unit does this in annual sales…$500K/yr

Starts at a placeholder of $500K — a round figure for the sector, not from Perkins Restaurants’ filings. Set your own figure and check it against this brand's Item 19 and what owners tell you.

Royalty you'd pay / yr

$20K

4% of sales, before profit

Over a 10-yr term

$200K

royalties alone, excl. ad fund

This estimate is computed by software from the brand's public filings and any inputs you enter. No CPA prepared it for you and no assurance is provided on it. Actual results will differ, and the differences may be material.

This is not profit. It covers what the FDD fixes: what you put in, and the royalty you owe on sales. Your take-home depends on labor, rent, supplies, and the months to breakeven, none of which the FDD fixes for your unit (some Item 19s include cost data — read it).

Build a real pro-forma for Perkins Restaurants with a buyer-paid CPA

Perkins Restaurants cost questions, answered from the filing

How much is a Perkins Restaurants franchise?

Per Perkins Restaurants's 2025 FDD, opening a franchise requires an initial franchise fee of $40,000 (Item 5) and a total initial investment of $1.3M–$3.6M (Item 7). Item 7 is the franchisor's own estimate — treat the low end as a floor, not a budget.

What royalty does Perkins Restaurants charge?

Perkins Restaurants charges an ongoing royalty of 4.0% of gross sales, per Item 6 of its 2025 FDD. The median across 186 food & dining systems tracked here is 5.5%.

Does Perkins Restaurants tell you what franchisees earn?

Partly — Perkins Restaurants makes a financial performance representation in Item 19 of its 2025 FDD, reporting a median unit volume of $1.9M. Unit revenue is not owner profit: subtract royalties, ad fund, rent, labor, and debt service.

The Perkins Restaurants validation checklist

questions built from this brand's own filings · read them all on the profile

Want this as a checklist you can take to the calls?

I'll email you the printable version, and tell you if Perkins Restaurants’ numbers move — a new filing, a rising exit rate, a distress signal. Unsubscribe in one click.

Before you sign anythingfree · 30 min · no commission

A broker is usually paid by the franchisor to place you. I'm paid only by you, never by a franchisor you're considering — and the job is pressure-testing Perkins Restaurants’ numbers, including talking you out of a bad deal.

Don Drummond, CPA — Virginia #43775 · what I charge

Book a free 30-minute call →