Dairy Queen vs IHOP Franchise Cost 2026
Dairy Queen runs $1.1M–$1.9M. IHOP runs $1.7M–$4.0M. The gap at midpoint: $1.4M.
Dairy Queen
$1.1M–$1.9M
total investment
Investment Difference
$1.4M
Dairy Queen costs less
IHOP
$1.7M–$4.0M
total investment
Cost Breakdown
| Category | Dairy Queen | IHOP | Lower Cost |
|---|---|---|---|
| Total Investment | $1.1M–$1.9M | $1.7M–$4.0M | Dairy Queen |
| Franchise Fee | $35,000 | $40,000 | Dairy Queen |
| Royalty Rate | 4.0% | 4.5% | Dairy Queen |
| Ad Fund Fee | 6.0% | 3.5% | IHOP |
| Net Worth Required | $750K | $1.0M | Dairy Queen |
| Liquid Capital | $400K | $500K | Dairy Queen |
| Est. Break-Even | 77.3 yr | 33.9 yr | IHOP |
Dairy Queen Profile
- Category
- food
- Total Investment
- $1.1M–$1.9M
- Franchise Fee
- $35,000
- Royalty
- 4.0%
- Est. Annual Revenue
- $970K
IHOP Profile
- Category
- food
- Total Investment
- $1.7M–$4.0M
- Franchise Fee
- $40,000
- Royalty
- 4.5%
- Est. Annual Revenue
- $2.1M
Bottom Line
Dairy Queen costs $1.4M less to open at the midpoint. That difference goes toward working capital or a second location. Dairy Queen also wins on royalty rate.