Quick Summary

Popeyes Franchise Costs & Profits: Popeyes, a globally renowned fast-food chain, has captivated customers with its signature New Orleans-inspired cuisine since 1972. Originating as a single restaurant, Popeye’s quickly rose to prominence and is now the second-largest quick-service chicken franchise in the world.

With over 3,138 locations across 49 U.S. states and a strong global presence, Popeye’s is celebrated for its unique blend of spices, quality, and commitment to culinary excellence. Acquired by Restaurant Brands International in 2017, Popeye’s continues to grow alongside industry giants like Burger King and Tim Hortons.

Key Takeaways

• Popeye’s offers franchise opportunities requiring a $1 million net worth and $500,000 in liquid assets.

• The brand operates 3,138 locations, with Texas hosting the most outlets.

• Franchisees undergo a six-week training program to ensure operational excellence.

• Initial investments range from $1,086,000 to $3,695,800, depending on the facility type.

• Franchisees benefit from incentive programs that reduce franchise fees for qualified veterans and underrepresented groups.

Is Popeye’s a Franchise?

Yes, Popeye’s operates as a franchise, offering opportunities to entrepreneurs who meet specific financial and experience requirements.

Franchisee Requirements

• Net Worth: $1 million per restaurant.

• Liquid Assets: $500,000 per restaurant.

While experience in the restaurant industry is preferred, Popeye’s considers candidates with strong business acumen and a commitment to the brand.

How Many Popeye’s Locations Are There?

As of January 2024, Popeye’s operates 3,138 restaurants across the U.S., spanning 49 states and 1,670 cities.

Top Markets

• Texas: 432 locations (14% of total).

• Houston: 75 locations (2% of total U.S. footprint).

This robust presence highlights the brand’s widespread appeal and growth potential.

What Training Is Required to Open a Popeye’s?

Popeye’s comprehensive six-week training program ensures franchisees and their teams meet the brand’s high standards:

• Week 1: Foundational operations and team member production.

• Week 2: ServSafe certification and team member service.

• Week 3: Shift manager production training.

• Week 4: Shift manager service training and certification.

• Week 5: Restaurant General Manager (RGM) training and shadow shift running.

• Week 6: Supervised shift running and RGM certification.

Training combines classroom instruction, online modules, and hands-on experience at a Certified Training Restaurant. Franchisees are responsible for all related costs, including travel, accommodations, and employee wages.

How Much Does It Cost to Open a Popeye’s?

Starting a Popeye’s franchise requires a significant financial commitment, with costs varying by facility type:

Investment Ranges

• Free-Standing Restaurant: $1,086,000 to $3,695,800.

• In-Line Facility: $383,500 to $1,870,800.

• Delivery-Only Facility: $109,500 to $819,300.

Ongoing Fees

• Franchise Fee: $50,000 per restaurant (discounted for qualified candidates).

• Royalty Fee: 5% of monthly gross sales.

• Marketing Fee: 4% of monthly gross sales.

For multi-unit development, franchisees can sign an Area Development Agreement, paying $50,000 per restaurant in installments.

What Is Popeye’s Franchise Fee?

The standard franchise fee is $50,000. However, Popeye’s offers incentives to reduce this cost:

• Veterans Development Incentive Program: Franchise fee reduced to $27,500 for qualified veterans.

• Women and Minorities Development Incentive Program: Similar fee reduction for underrepresented groups.

These initiatives promote diversity within the franchise network.

How Much Does a Popeye’s Franchise Make a Year?

Popeye’s franchise profitability varies based on annual sales levels:

EBITDA as a Percentage of Sales (2022):

• Under $1.5 Million:

  • Average Sales: $1,180,027

  • EBITDA: 4.4% ($51,921)

• Over $2.5 Million:

  • Average Sales: $3,045,979

  • EBITDA: 17.0% ($518,816)

Higher sales categories correspond to improved profitability, emphasizing the importance of location and operational efficiency.

Pros and Cons of Owning a Popeye’s Franchise

Pros:

• Strong brand recognition and global presence.

• Comprehensive training and operational support.

• Incentive programs to reduce franchise fees for qualified candidates.

Cons:

• High initial investment requirements.

• Competitive market within the fast-food industry.

• Responsibility for ongoing training and compliance.

Why Choose Popeye’s?

Popeye’s offers a unique opportunity to invest in a globally recognized brand known for its quality and innovation. With strong training programs, financial incentives, and robust market presence, Popeye’s is an attractive choice for entrepreneurs looking to succeed in the fast-food franchise industry.

Interested in exploring more franchise opportunities? Check out our guide to 5 Low-Cost Franchises That Make $1,000,000 and discover how to maximize your investment potential!