Cheba Hut Franchise Cost and Profits in 2026

By FDDIQ Research Team | April 2026

Based on 2025 FDD Filing

Quick Summary

$50,000

Franchise Fee

$1.4M

Midpoint Investment

7.0%

Total Fees

$2.0M

Median Revenue

+15

Net Growth

Cost Breakdown

Fee	Amount
Franchise Fee	$50,000
Total Investment Range	$631,150 - $2.1M
Midpoint Investment	$1.4M
Royalty Rate	5.0%
Advertising Fund	2.0%
Total Ongoing Fees	7.0%

Revenue and Profit Analysis

The median Cheba Hut franchise generates $2.0M in annual revenue. With estimated margins of 13%, that is approximately $257,472 in annual EBITDA.

Revenue per dollar invested: 1.46x.

Unit Count

Cheba Hut has 8 franchised units. Added 15 net units (250.0% growth).

SBA Loan Performance

SBA default rate: 0.0% across 25 loans. This is below the franchise industry average (~7-8%).

Frequently Asked Questions

How much does a Cheba Hut franchise cost?

A Cheba Hut franchise requires a $50,000 franchise fee with total investment ranging from $631,150 to $2.1M. The midpoint investment is approximately $1.4M.

How much do Cheba Hut franchise owners make?

Based on the most recent FDD, the median Cheba Hut location generates $2.0M in annual revenue. With estimated industry margins of 13%, that translates to approximately $257,472 in EBITDA before debt service.

What is the Cheba Hut royalty rate?

Cheba Hut charges a 5% royalty on gross sales plus a 2.0% advertising fund, for a total ongoing fee burden of 7.0%.

Is a Cheba Hut franchise worth it?

Whether Cheba Hut is worth it depends on your market, experience, and financial goals. The brand is growing at 250.0% annually. The SBA loan default rate is 0.0%. Review the latest FDD thoroughly and validate with existing franchisees before investing.

What is the Cheba Hut franchise SBA loan default rate?

Based on SBA loan data, Cheba Hut has a 0.0% default rate across 25 loans. This is below the overall franchise industry average.

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Detailed financial data, Item 20 outlet counts, litigation history, and more.

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