FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Hooters.
Based on 2023 FDD · 3 filings in corpus
This page is using 2023 FDD source data. Verify the franchisor's current FDD before relying on costs, fees, or Item 19. It is excluded from search indexing until refreshed.
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a Hooters franchise shows an estimated initial investment of $415K – $1.1M. The franchisor does not provide enough Item 19 data for a clean profit estimate. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $30K franchise fee · 7% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
Hooters requires a total initial investment of $415K to $1.1M (midpoint approximately $773K), with an initial franchise fee of $30K. The ongoing fee burden is 7% (5% royalty plus 2% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.
Hooters does not publicly disclose Item 19 financial performance data in their FDD. This is a significant transparency gap — franchisees must rely on validation calls and personal research rather than audited financial representations. Prospective buyers should demand current unit-level financials from existing operators during due diligence.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2023 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Common questions buyers ask about Hooters, answered from FDD and SBA data.
The total initial investment for a Hooters franchise ranges from $415K to $1.1M, according to their Franchise Disclosure Document.
Hooters charges a 5% royalty fee on gross sales.
The initial franchise fee for Hooters is $30,000.
Location count data for Hooters is available in their FDD Item 20.
Profit data for Hooters is disclosed in FDD Item 19 (Financial Performance Representation). Check their most recent Franchise Disclosure Document for current figures.
SBA loan default rate data for Hooters is not currently available in the SBA database.
Whether a Hooters franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.
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