Hooters Franchise FDD, Costs & Fees (2025)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Franchisees

?

101
+
-8%
-8%
Investment required

?

$2,748,000 - $4,100,000
Revenue (AUV)

?

$3,575,000
Undisclosed
Pro
+
n.a.
+
xx%
-xx%
n.a.
Initial franchise fee

?

$75,000
Royalty fees

?

5.00%
+
5.50%
Operating Profit

?

n.a.

Pro
Franchisees

?

101
+
-8%
-8%
Investment required

?

$2,748,000 - $4,100,000
Franchise fee

?

$75,000
Royalty fees

?

5.00%
+
5.50%
Revenue (AUV)

?

$3,575,000
Undisclosed
Pro
+
n.a.
+
xx%
-xx%
n.a.
Operating Profit

?

n.a.

Pro

Hooters: Redefining Casual Dining with a Global Presence

Hooters, a renowned restaurant franchise, was founded in 1983 in Clearwater, Florida, by six entrepreneurs seeking to create a lively, laid-back dining experience. The concept blended delicious food, refreshing beer, sports on large screens, and welcoming service led by the iconic Hooters Girls.

Today, Hooters stands as a global phenomenon with over 435 locations spanning 44 states and 28 countries. Headquartered in Atlanta, Georgia, the franchise has successfully expanded its footprint both domestically and internationally, balancing corporate operations with franchised locations.

Known for its signature combination of consistently great food and a vibrant atmosphere, Hooters sets itself apart with a strong commitment to community engagement. The brand actively supports causes like cancer research and other charitable initiatives, solidifying its reputation as more than just a dining destination.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount (Conversion) Amount (New Construction)
Systems $25,000 - $95,000 $25,000 - $95,000
Initial Inventory $25,000 - $95,000 $25,000 - $95,000
Initial Labor and Training $75,000 - $150,000 $75,000 - $150,000
Grand Opening Expenses $10,000 - $50,000 $10,000 - $50,000
Insurance $45,000 - $80,000 $45,000 - $80,000
Professional Fees, Licenses, Deposits, and Other Prepaid Expenses $8,000 - $25,000 $8,000 - $25,000
Additional Funds – 3 months $40,000 - $135,000 $40,000 - $135,000
Estimated Total $1,258,300 - $2,820,000 $2,748,300 - $4,100,000

Franchise Disclosure Document

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Competitors

Franchise
Franchisees
Growth
Initial fee
Investment
Revenue
Gross Profit
Operating Profit
Industry

101

+
-8%
-8%
No growth
New

$75,000

$2,748,000

-

$4,100,000

n.a.

$3,575,000

Pro

72.8%

Pro

n.a.

Pro

Food & Beverage

Training

Hooters provides comprehensive training programs to ensure franchisees and their personnel are well-prepared to operate their businesses. The franchisor offers several types of training, including:

  1. Management Training Program: This program is mandatory for the Operating Principal, General Manager, and any other designated personnel. The training involves both online and in-person components, covering essential aspects of managing a Hooters franchise. Attendees are responsible for all associated costs, such as travel, lodging, and their salaries.
  2. On-the-Job Training: Hooters periodically conducts on-the-job training programs at various locations, including corporate headquarters and franchise-operated sites. Space for these programs is limited, and the franchisor reserves the right to modify or discontinue this training as needed.
  3. On-Site Training During Openings: The franchisor provides up to two Opening Training Coordinators to assist with the launch of new franchises for up to 14 days. Franchisees must reimburse the franchisor for the associated travel and accommodation expenses.
  4. Additional Training Programs: Hooters also offers refresher courses and additional training as necessary, which can take place at various locations, including the franchisee's restaurant or a designated venue. These programs are provided at the franchisee's expense.
  5. Immersion Training for Owners: Within 30 days of signing the franchise agreement, at least one owner is required to attend a two-day immersion training session at the corporate headquarters.
  6. Customized and Subsequent Trainee Training: Franchisees may request customized training for subsequent employees or additional personnel. These are subject to fees based on the scope and scale of the program.

Territory Protection

Hooters provides franchisees with a Protected Market Area as part of its franchise agreements. Within this area, Hooters will not open or license another Hooters restaurant, ensuring operational exclusivity for the franchisee.

However, the Protected Market Area is determined solely by the franchisor, considering various factors such as demographics and local market potential.

Despite the Protected Market Area, the franchisor retains broad rights to operate or license other Hooters-related businesses, such as hoots® wings restaurants, within or outside the designated area.

Additionally, delivery services are not exclusive, meaning other franchisees or third parties may also provide deliveries within the same geographic region. This balance aims to protect the franchisee's local operations while allowing flexibility for the brand's expansion.

Number of units

2023
Franchised units

110

105

101

Company-owned units

197

197

196

Total units

307

302

297

Competitors

Hangry Joe's

Investment required
$306,000
-
$518,000
Franchisees
51
+
5000%
5000%

Huey Magoo's Chicken Tenders

Investment required
$863,000
-
$2,613,000
Franchisees
55
+
206%
206%

Big Chicken

Investment required
$682,000
-
$1,526,000
Franchisees
10
+
n.a.
n.a.

Layne's Chicken Fingers

Investment required
$447,000
-
$1,015,000
Franchisees
10
+
150%
150%

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