IHOP vs Applejack's Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of IHOP vs Applejack's including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
IHOP Franchise
Applejack's Franchise
Investment $414,866 - $3,374,043$250,000 - $275,000
Franchise Fee $40,000 - $50,000$25,000
Royalty Fee 4.5%4%
Advertising Fee 3.5%2%
Year Founded 19581999
Year Franchised 19602004
Term Of Agreement -10 years
Term Of Agreement -10 years
Renewal Fee --


Business Experience Requirements
 
IHOP Franchise
Applejack's Franchise
Experience --

Financing Options
 
IHOP Franchise
Applejack's Franchise
  In-House/3rd PartyIn-House/3rd Party
Franchise Fees -/--/-
Start-up Costs -/--/-
Equipment -/--/-
Inventory -/--/-
Receivables -/--/-
Payroll -/--/-

Training & Support
 
IHOP Franchise
Applejack's Franchise
Training --
Support --
Marketing --
Operations --

Expansion Plans
 
IHOP Franchise
Applejack's Franchise
US Expansion --
Canada Expansion --
International Expansion --

Company Overviews

About IHOP

The IHOP restaurant chain has been serving a wide variety of breakfast, lunch and dinner selections for more than 57 years. IHOP enjoys a rich heritage and almost universal awareness. Our brand has been built upon the strenght of our franchisees, vendors partners and dedicated employees. IHOP restaurants are franchised and operate by Glendale, California based IHOP Corp. There are over 1,280 IHOP restaurants in the U.S. and Canada.

The total investment necessary to begin operation of an IHOP franchise at a non-traditional venue is as follows:
  • Full-Service Program: $693,266 to $3,374,043
  • IHOP Limited-Service Program: $414,866 to $1,427,418
This includes Initial Fees of $39,000 to $79,480 per Full-Service Restaurant and $23,500 to $48,480 per IHOP Limited-Service Restaurant to be developed which must be paid to the Franchisor or an IHOP Affiliate.

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About Applejack's

As an effective business operator, you wish to minimize risk and maximize profit. That is exactly what successful franchising is all about. Franchised businesses have a higher success rate than independent businesses. This is a fact. It is generally accepted that an estimated 40% of all non-franchised businesses do not make it to the end of their first year of operation, and 80% will fail within their first five years of operation. And even the 20% that do manage to survive are not safe, as 90% of them will fail within the next five years. In most cases this is not due to lack of revenues and its mostly based on lack of experience, support and management skills. By joining a Franchise, franchisees can benefit from the Brand marketing, purchasing power and management expertise offered by well-established franchisors. This is particularly attractive to those persons entering the highly competitive food service industry for the first time. As a result of the positive interaction between franchisee and franchisor, our restaurant owner/operators are much more likely to be financially successful than were they to enter the industry as independent restaurateurs.