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APPLEBEE'S NEIGHBORHOOD GRILL & BAR AND APPLEBEE'S

APPLEBEE'S NEIGHBORHOOD GRILL & BAR AND APPLEBEE'S

Applebee’s Neighborhood Grill & Bar franchises operate sit-down, table-service restaurants specializing in uniform, high-quality, moderately priced food and alcoholic beverages in a distinctive, casual neighborhood atmosphere. The business model involves franchisees signing development and franchise agreements to build and operate restaurants using the franchisor's trademarks, recipes, operational procedures, training, and marketing support. They target a broad market including families, adult groups, and all ages seeking good value, fast service, and a fun dining experience.

1,416locations
$3870K–$5823K
Since 1988
Food & BeveragePasadena, CADine Brands Global, Inc.www.applebees.com/enDisclaimer

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Franchise Costs

Franchise Fee
$35,000
Initial Investment
$3,870,004 – $5,822,933
Royalty Rate
4.00%
Brand Fund
4.25%
Fixed Monthly Fees
$2,103 – $4,383

4% royalty + 4.25% ad fund + $90-$180/mo menu management + $125-$250/mo CRM + $21-$100/mo digital products service + $150-$500/mo payment protection

Financial Performance

Item 19 Financial Performance

Average Gross Revenue
$2,954,522
Median Gross Revenue
$2,822,904

Data Based On: Data for 1351 traditional franchised Applebee's Restaurants active and operating from December 30, 2024 to December 28, 2025.

Extracted Item 19 Section

Avg. Revenue: $2,954,522

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How APPLEBEE'S NEIGHBORHOOD GRILL & BAR AND APPLEBEE'S Compares

Key Insights

  • Higher investment than 100% of Fast Food franchises
  • Higher than average SBA loan default rate in Fast Food
FranchiseInvestmentFeeRoyaltyLocations
APPLEBEE'S NEIGHBORHOOD GRILL & BAR AND APPLEBEE'S
Current
$3.9M – $5.8M$35K4.0%1,416
MCDONALD'S$1.5M – $2.6M$45KN/A12,772
LITTLE CAESARS$377K – $1.8M$20K6.0%3,788
AFC$45K – $151K$6K8.0%3,572
KFC (NON-TRADITIONAL)$1.2M – $4.2M$45KN/A3,404
SONIC DRIVE-IN$1.5M – $2.5M$15K5.0%3,120
Fast Food Average
134 franchises
$596K – $1.6M$35K6.3%–

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 134 Fast Food franchises by location count.

Locations & Growth

Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2025)

Outlets by state across the United States

Top States
1CALIFORNIA
102
2NEW YORK
91
3TEXAS
87
4MICHIGAN
80
5FLORIDA
78
6OHIO
75
7PENNSYLVANIA
74
8NEW JERSEY
55
9INDIANA
54
10MINNESOTA
45
11VIRGINIA
44
12WASHINGTON
40
13MISSOURI
39
14NORTH CAROLINA
37
15ALABAMA
29

+37 more states

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SBA Loan History

Historical SBA 7(a) loan data for APPLEBEE'S NEIGHBORHOOD GRILL & BAR AND APPLEBEE'S franchisees (2011 – 2011)

Total Loans
3
Average Loan
$2,449,967
Total Volume
$7.3M
Default Rate
0.0%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

3 SBA loans on record

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Franchisee Contacts

823 franchisee contacts on file from official FDD filings.

823 Contacts Available

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Due Diligence

Litigation (Item 3)

Franchisee Cases8

Includes disputes over contract breaches, fee collection, unauthorized restaurant closures, trademark infringement, and a class action regarding ADA compliance for gift cards.

Bankruptcy (Item 4)

Bankruptcy HistoryYes

YogaWorks, Inc. (former employer of current CFO Vance Chang) filed Chapter 11 in October 2020.

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
8
Reacquired
12
Ceased Ops
33
Transfers
23
Sold to Franchisees
0
Projected New
44

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Frequently Asked Questions

The total initial investment to open a APPLEBEE'S NEIGHBORHOOD GRILL & BAR AND APPLEBEE'S franchise ranges from $3,870,004 to $5,822,933. This includes a franchise fee of $35,000. Ongoing royalty fees are 4.0% of gross sales.