Franchises · 2026 FDD · Wisconsin DFI filing 640498
IHOP franchise cost, unit revenue and closures
Opening a IHOP cost $1,907,682 to $3,329,845 in the 2026 FDD; the franchisor's revenue disclosure has no single unit figure; 6.1% of franchised units closed over three years.
Franchisor: IHOP Franchisor LLC. FDD issued 2026-03-27, amended 2026-04-07. Fiscal year end 2025-12-28. Figures re-found on the cited page 2026-11-03.
What a unit costs to open
Endcap/Conversion prototype column; the two further prototype columns on the same page total $2,708,932 to $4,240,095 and $2,839,182 to $4,823,457.
What a unit pays the franchisor
| Initial franchise fee | $50,000 | Item 5, p. 12 |
|---|---|---|
| Royalty | 4.5% of total Gross Sales, weekly | Item 6, p. 14 |
| Advertising fund | National Advertising Fee 3.5% of Gross Sales | Item 6, p. 14 |
$15,000 Location Fee under a Single Store Development Agreement is applied to it; $35,000 for a Dual Branded Restaurant.
What a unit sells
Item 19 is optional and is the franchisor's own representation. It is shown here as filed, with the franchisor's measure, sample and period, and nothing is estimated where it is missing.
Item 19 present, no single unit figure. historical gross sales of traditional franchised restaurants by region (Chart 1) and by prototype (Chart 2) for two 12-month periods; no all-restaurant row (Item 19, p. 59, 60).
Sample: Chart 2 freestanding restaurants, period 2024-12-30 to 2025-12-28: 1,271 restaurants, annualized average $2,023,009, median $1,953,332, high $6,701,374, low $375,921, 574 (45%) above average; in-line 54 (median $1,905,551), endcap 138 (median $1,715,013). Period: 2024-12-30 to 2025-12-28 (and the prior year).
Revenue to investment
Undefined: Item 19 is split by region and prototype with no combined figure.
How many units open and close
| Franchised units | 2023 | 2024 | 2025 |
|---|---|---|---|
| Start of year | 1,646 | 1,658 | 1,655 |
| Opened | 35 | 25 | 33 |
| Terminated | 0 | 0 | 0 |
| Not renewed | 3 | 12 | 9 |
| Reacquired by franchisor | 0 | 0 | 10 |
| Ceased, other reasons | 20 | 17 | 39 |
| End of year | 1,658 | 1,655 | 1,630 |
| Company-owned, end of year | 0 | 0 | 12 |
Item 20, Table 1 p. 61; Table 3 totals p. 70.
Closures are the franchisor's Item 20 counts of units terminated, not renewed, or ceased for other reasons, summed over 2023–2025 and divided by franchised units at the start of 2023. Units the franchisor reacquired are not closures. This is an Item 20 count, not a failure rate.
traditional restaurants; a separate set of tables covers 37 to 51 non-traditional/IHOP Express outlets. Company-owned 2025 end (12) from Table 4; total derived.
As filed: 2024 does not sum (1,658 + 25 − 29 = 1,654, printed 1,655); 2023 and 2025 sum.
Source and method
Every figure above comes from the IHOP Franchise Disclosure Document issued 2026-03-27 and amended 2026-04-07, as filed with the Wisconsin Department of Financial Institutions (filing 640498, registry record). The PDF is the franchisor's and is not hosted here; the item and page beside each figure is where to check it. Item 7 and Item 20 tables were read cell by cell; Item 19 was read by hand; each Item 20 year was checked to sum (start + opened − exits = end) before it was recorded.
Wisconsin holds two IHOP registrations: 640498 Traditional Program (this record) and 640502 Non-Traditional Program, not fetched.
Informational only, not professional, legal or investment advice. Unitnomics computes from the filing and does not advise on, rank, or refer to any franchise. Last reviewed: November 2026.