With more
than 1,500 restaurants worldwide and annual sales of more than $2 billion,
Denny’s enjoys a brand recognition awareness level of nearly 100%.For more than 50 years, Denny’s has provided
the quintessential family dining experience with modestly priced meals, and is
currently one of the the largest full-service family restaurant chain in the United
States. Denny’s is well known for its breakfast items and late-night dining,
but has also seen substantial success with its lunch and dinner menus, which have
been updated to include a variety of health-conscious choices. Denny’s
franchisees serve America's most loved foods 24 hours a day, 7 days a week.
Operating Units
12/31/2006
12/31/2007
12/31/2008
Franchised
947
1078
1149
% Change
--
13.8%
6.7%
Company-Owned
521
394
314
% Change
--
-24.4%
-20.3%
Total
1468
1472
1463
% Change
--
0.2%
-0.5%
Franchised as % of
Total
64.51%
73.22%
78.54%
Investment
Required
The
fee for a Denny’s franchise is $40,000.
Denny’s
provides the following range of investments required to open your initial
franchise. The range assumes that all items are paid for in cash. To the extent
that you choose to finance any of these expense items, your front-end
investment could be substantially reduced.
Item
Established Low Range
Established High
Range
Franchise
Fee
$0
$40,000
Building
and Improvements
$650,000
$1,600,000
Architectural
Design
$13,000
$40,000
Equipment,
Fixtures, Furnishings
$380,000
$480,000
Signage
$15,000
$90,000
D.I.N.E
POS Systems
$20,000
$40,000
Opening
Inventory and Supplies
$17,000
$28,000
Opening
Advertising
$3,000
$5,000
Opening
Menus
$210
$486
Opening
Gift Cards
$115.50
$115.50
New
Restaurant Opening Training Team
$0
$15,000
Security
Deposits
$10,000
$15,000
Insurance
$15,000
$20,000
Permits
$5,000
$100,000
Additional
Funds (3 months)
$80,000
$150,000
Total
Investment (does not include land)
$1,208,325.50
$2,623,601.50
On-going
Expenses
Denny’s
franchisees pay royalties equal to 4% of gross sales and advertising fees equal
to 3% or 4% of gross sales. Other fees payable by the franchisee include a
local advertising co-op fee and semiannual menu costs.
What You Get—Training
and Support
Denny’s
franchisees spend 10 to 13 weeks at a nearby certified training restaurant for
hands-on training, with complete instruction in all aspects of restaurant
operation, from management to food safety. Denny’s commitment to franchisee
support also includes field based real estate assistance, design and layout
specifications, new restaurant opening assistance, and ongoing advertising and
field support.
Territory
Denny’s grants exclusive and nonexclusive territories.
