FranchiseBudget

Dave & Buster's vs IHOP Franchise Cost 2026

Dave & Buster's runs $5.7M–$15.6M. IHOP runs $1.7M–$4.0M. The gap at midpoint: $7.8M.

Dave & Buster's

$5.7M–$15.6M

total investment

Investment Difference

$7.8M

IHOP costs less

IHOP

$1.7M–$4.0M

total investment

Cost Breakdown

Category Dave & Buster's IHOP Lower Cost
Total Investment $5.7M–$15.6M $1.7M–$4.0M IHOP
Franchise Fee $50,000 $40,000 IHOP
Royalty Rate 5.0% 4.5% IHOP
Ad Fund Fee 1.0% 3.5% Dave & Buster's
Net Worth Required $5.0M $1.0M IHOP
Liquid Capital $2.5M $500K IHOP
Est. Break-Even 20.9 yr 33.9 yr Dave & Buster's

Dave & Buster's Profile

Category
food
Total Investment
$5.7M–$15.6M
Franchise Fee
$50,000
Royalty
5.0%
Est. Annual Revenue
$8.5M
Full Dave & Buster's Cost Breakdown →

IHOP Profile

Category
food
Total Investment
$1.7M–$4.0M
Franchise Fee
$40,000
Royalty
4.5%
Est. Annual Revenue
$2.1M
Full IHOP Cost Breakdown →

Bottom Line

IHOP costs $7.8M less to open at the midpoint. That difference goes toward working capital or a second location. IHOP also wins on royalty rate.