Pizza Hut Franchise Opportunities
Pizza Hut is an American restaurant chain and international franchise founded in 1958 by Dan and Frank Carney. The company is known for its Italian-American cuisine menu including pizza and pasta, as well as side dishes and desserts. Pizza Hut has 16,796 restaurants worldwide as of March 2018, making it the world's largest pizza chain in terms of locations. It is a subsidiary of Yum! Brands, Inc., one of the world's largest restaurant companies.
How to open a Pizza Hut franchise?
- Ensure you have adequate capitalization.
In order to open a Pizza Hut restaurant franchise, you must have a net worth of more than $300,000. - Appreciate the investment required for a restaurant franchise.
You will need to consider real estate costs, the cost of equipment and signs, the costs of licenses and permits, the cost of uniforms, the cost of insurance, etc. - Evaluate your prior experience and strengths.
You should thoroughly evaluate your prior business experience before applying to become a Pizza Hut franchise owner. - Assess market availability.
You will want to look at the market availability for Pizza Hut franchises and see if there are available markets in your location of interest before proceeding with the franchising application. - Submit your application.
Your application will be reviewed by the Pizza Hut franchise team. You will be emailed a confirmation receipt upon reception of your online application, where we will additionally provide the contact details of the franchise owner. - Receive approval & opening your Pizza Hut franchise.
You will receive franchise approval once your financial and background checks are completed. Approval will only be given to candidates who meet all the requirements of franchise owners.
How much does Pizza Hut franchise cost?
Pizza Hut has the franchise fee of up to $25,000, with total initial investment range of $302,000 to $2,185,500.
Initial investments: $302,000 - $2,185,500
Net-worth Requirement: $700,000
Liquid Cash Requirement: $350,000
Pizza Hut Initial Investment
| Name of Fee | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Equipment | $100,000 | $450,000 |
| Opening Inventory | $4,000 | $8,000 |
| Smallwares | $10,000 | $50,000 |
| Building and Site Improvements | $180,000 | $1,575,000 |
| Land | Varies | |
| Delivery Vehicles | Varies | |
| Computers | $20,000 | $40,000 |
| Computer System Training | $0 | $1,500 |
| Additional Funds (3 months) | $5,000 | $21,500 |
| Miscellaneous | $10,000; | $22,000 |
| Advertising | $0 | $16,500 |
| Start-Up "Other" | $3,000 | $4,000 |
| Estimated Total<* | $357,000 | $2,213,500 |
* The estimated initial investment range covers multiple variations of new "Traditional" restaurant types.
Ongoing Fees
Initial Franchise Fee: $25,000
Ongoing Royalty Fee: 6%
Ad Royalty Fee: 4.25%
Other fees for Pizza Hut Franchise
| Type of Fee | Amount |
|---|---|
| Monthly Service Fee | 6% of Gross Sales (6.5% under certain circumstances). |
| Taxes | As levied by tax authorities. |
| System Advertising Fund Contribution | 4.75% of Gross Sales |
| International Pizza Hut Franchise Holders Association (IPHFHA) Dues | 4.75% of Gross Sales (set by franchisees) |
| Digital Innovation Fees | $0.38 per transaction conducted through a digital or other automated channel established by the franchisor. |
| Restaurant Technology Fee (currently, a “SUS Fee”) | $2,500 per year |
| Software Training Fee | $1,500 plus travel and living expenses. |
| Initial Training Costs | All living and transportation expenses of all trainees. The amounts are unknown and may vary depending upon factors such as the third-party supplier selected and the franchisee’s distance from training. Additional and subsequent trainee charge: $500 per person per week. |
| On-Site Training and Assistance | The then-current training fees plus expenses. |
| On-Going Training | The then-current training fees plus expenses. |
| Proprietary Products | If developed in the future, franchisees must buy proprietary products from the franchisor (RSCS, if it offers and sells same), its affiliate or designee. |
| Inspection and Testing Costs | Franchisees must reimburse PHLLC for all costs and expenses incurred in connection with the review, inspection and/or approval of a proposed product or supplier, including any salary, travel and lodging expenses. |
| Audit | The amount of the audit expenses is unknown and may vary depending upon factors such as the auditor selected. |
| Late Charges | Currently 1.5% per month |
| Unauthorized Closure | An amount equal to 24 times the average Monthly Service Fees paid or due with respect to the closed System Restaurant during the prior calendar year. |
| Relocation | Varies, depending on the franchisor’s costs in connection with reviewing and/or approving the request. |
| Transfer Fee | $2,500 plus an additional $250 per System Restaurant transferred |
| Advances | Varies |
| Indemnification of PHLLC | Varies |
| Attorneys' and Experts’ Fees, Court Costs | The amount of these fees and costs are unknown and may vary depending upon factors such as the attorneys and experts selected and the court costs. |
Are you interested in starting Pizza Hut Franchise in the USA, India, Canada, Pakistan or another country?
We provide estimated franchise costs for some countries:
- In the United States, the total investment to start the Pizza Hut restaurant is around $302,000 to $2,185,500.
- In Indian currency, the investment comes around Rs 72 lakhs to Rs 3.6 crores.
- In Canadian currency, the investment comes around CAD 400,377 to CAD 2,897,436.
- In Pakistani currency, the investment comes around PKR 47,360,971 to PKR 342,739,746.
Support Options
On-The-Job Training: 8-12 weeks
Pizza Hut Franchise Info: https://franchise.pizzahut.com
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Starting investments from:$302,000
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Company type:Restaurant
- Company foundation year1958
- Year of launching the franchise1959
- Franchise enterprises:14,645
- Corporate Address:7100 Corporate Dr. Plano, TX 75024