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Rates
Hi-Pointe Drive-In

Hi-Pointe Drive-In

Franchising since 1993 · 1 locations

The total investment to open a Hi-Pointe Drive-In franchise ranges from $751,500 - $1.2M. Hi-Pointe Drive-In currently operates 1 locations (1 franchised). The top SBA 7(a) lenders for Hi-Pointe Drive-In are Bank of Belleville and Scott CU. PeerSense FPI health score: 35/100.

Investment

$751,500 - $1.2M

Total Units

1

1 franchised

FPI Score
Low
35

Proprietary PeerSense metric

Fair
Capital Partners
2lenders available

Active capital sources verified for Hi-Pointe Drive-In financing

SBA

7(a) Eligible

21d

Avg Funding

P+2.25%

Best Rate

No retainers · Referral fee at closing

FPI Score Breakdown

New/Niche (1-2 loans)

Limited Data
35out of 100
Fair

SBA Lending Performance

SBA Default Rate

50.0%

1 of 2 loans charged off

SBA Loans

2

Total Volume

$2.5M

Active Lenders

2

States

1

Top SBA Lenders for Hi-Pointe Drive-In

What is the Hi-Pointe Drive-In franchise?

The Hipointe Drivein franchise presents a compelling entry point into the dynamic foodservice market, built upon a rich and intricate brand history that reflects both innovation and resilience. The genesis of the underlying concept for the Hipointe Drivein franchise dates back to February 1996, with the establishment of a sandwich bar in New York City by two brothers, drawing inspiration from a charming Parisian café. Concurrently, Xando Incorporated was formed in October 1994 by three childhood friends, setting the stage for a significant merger in 1999 that birthed Xando Cosi, Inc. By 2001, the strategic decision was made to streamline the brand identity, resulting in the "Xando" name being retired and the restaurants operating exclusively under the current brand, notably retaining the distinctive sun-and-moon logo previously associated with Xando. While these foundational narratives are widely accepted, other historical accounts also cite 1996 as a pivotal founding year, attributed to James Ryan, Sumit Rawal, and Sheeraz Mansoor, with Drew Harre also recognized as a founder, further adding to the brand's multifaceted origins. An "Established 1993" date is also referenced in some historical documents, suggesting an even deeper lineage for the operational practices that now underpin the Hipointe Drivein franchise. The company's corporate base has also evolved over time, initially headquartered in Deerfield, Illinois, United States, before its reported location shifted to Charlestown, Massachusetts, during its Chapter 11 bankruptcy filing in February 2020. This complex past underscores a brand that has consistently adapted and navigated various market conditions, demonstrating a robust underlying operational framework. The Hipointe Drivein franchise is positioned as a purveyor of fresh, high-quality food, specializing in artisan flatbread sandwiches, alongside a diverse menu of salads and soups. A significant and growing emphasis is placed on leveraging catering and delivery services, aligning the brand with modern consumer convenience trends and expanding its market reach beyond traditional dine-in experiences. This strategic focus ensures that the Hipointe Drivein franchise remains relevant and competitive in a continually evolving culinary landscape. The brand's leadership has seen a series of transitions over the years, indicative of its journey through different growth phases and strategic realignments. Jay, one of the original founders, stepped into the role of interim CEO from January to July 2003, providing foundational guidance. Kevin Armstrong was subsequently appointed CEO in July 2003, ushering in a new era of leadership. By April 2010, James Hyatt held the positions of President and CEO, guiding the company through a period of expansion. A notable shift occurred in March 2014 when R. J. Dourney, who was the brand's largest franchisee operating 13 restaurants in Boston, ascended to the CEO position, marking him as the fourth CEO in less than three years and highlighting the brand's willingness to integrate successful internal talent. Dourney was preceded by Stephen Edwards, who served as CEO from June 2013. However, the leadership landscape shifted again in August 2016, with R. J. Dourney's termination as CEO and President, alongside the resignation of Chief Financial Officer Miguel Rossy-Donovan, signaling another period of strategic change. Following the February 2020 bankruptcy, no specific current CEO for the restaurant chain has been publicly identified in the available search results, pointing to a brand that continues its evolution, offering the Hipointe Drivein franchise an opportunity to be part of its next chapter.

The Hipointe Drivein franchise operates within the expansive and dynamic global foodservice market, a sector characterized by consistent growth and significant innovation. In 2023, this market was valued at an impressive USD 3,099.66 billion, with projections indicating a substantial increase to USD 3,787.47 billion by 2030, reflecting a Compound Annual Growth Rate (CAGR) of 3.0% from 2024 to 2030. This upward trajectory underscores a robust and expanding environment for businesses like the Hipointe Drivein franchise. North America played a pivotal role in this market's performance, securing the largest market share in 2023, accounting for over 24.09% of the total revenue. This regional dominance highlights a strong consumer base and a mature infrastructure conducive to the growth of restaurant concepts. Several key trends are actively shaping the foodservice market and directly benefit the operational model embraced by the Hipointe Drivein franchise. Rapid urbanization continues to drive demand for convenient dining options, as city dwellers often seek quick, high-quality meal solutions that fit their busy schedules. Concurrently, evolving consumer lifestyles, marked by increased time constraints and a desire for efficiency, further fuel the demand for convenience foods. The integration of advanced technology, particularly online ordering platforms and sophisticated delivery applications, has become indispensable, enabling foodservice providers to reach a broader audience and streamline the customer experience. The Hipointe Drivein franchise, with its emphasis on catering and delivery services, is strategically aligned with these technological advancements, positioning itself to capitalize on the increasing consumer preference for digital accessibility and off-premise dining. Furthermore, a growing consumer awareness and demand for healthier and organic food options are profoundly influencing menu development across the industry. The Hipointe Drivein franchise's commitment to "fresh, high-quality food" directly addresses this trend, appealing to health-conscious individuals who prioritize wholesome ingredients and transparent sourcing. This alignment with prevailing consumer preferences for both convenience and quality establishes a strong foundation for the sustained success and expansion of the Hipointe Drivein franchise within this thriving industry landscape. The market's consistent growth, coupled with the brand's strategic focus on catering, delivery, and fresh offerings, positions the Hipointe Drivein franchise as an attractive investment in a sector poised for continued expansion.

Prospective entrepreneurs considering the Hipointe Drivein franchise opportunity must be prepared for a structured financial commitment designed to support the brand's expansion and operational excellence. The initial franchise fee for establishing the first Hipointe Drivein location is $40,000, a standard investment for gaining access to a well-established brand's intellectual property, operational systems, and comprehensive support. For franchisees looking to expand their portfolio with additional Hipointe Drivein locations, the fee is adjusted to $35,000 for each subsequent unit, incentivizing multi-unit development. The total initial investment required for a Hipointe Drivein franchise presents a range, reflecting variations in real estate costs, build-out expenses, equipment, and initial working capital across different markets and store configurations. One comprehensive source indicates a total investment range from $751,500 to $1,246,900, which encompasses all necessary expenditures from leasehold improvements to initial inventory. Other financial disclosures offer slightly different but still substantial ranges, including $466,500 to $946,900, another at $762,600 to $899,800, and a third at $396,000 to $743,000. These variations highlight the importance of detailed due diligence to ascertain the specific investment required for a particular site and market for the Hipointe Drivein franchise. Beyond the initial investment, franchisees are subject to ongoing fees that contribute to the brand's continuous development and support infrastructure. A royalty rate of 5% of gross sales is a fundamental ongoing commitment, ensuring that franchisees contribute to the corporate entity in exchange for continued brand usage, marketing efforts, and operational guidance. Additionally, "Ad Fees" are mentioned as ongoing financial obligations, though a specific percentage for a national advertising fund is not explicitly provided in the available search results for the Hipointe Drivein franchise. However, within the franchising industry, national advertising funds typically range from 1% to 3% of sales, serving to bolster brand awareness and drive customer traffic across the entire network. Prospective franchisees are also required to meet specific liquid capital and net worth criteria to demonstrate financial stability and capacity for investment. While working capital requirements are cited between $34,000 and $81,400, and a minimum cash required of $95,000 is noted, a more substantial figure for liquid assets required is $450,000, indicating a need for readily accessible funds to cover initial operational phases and contingencies. Furthermore, a minimum net worth of $900,000 is typically mandated, signifying a robust personal financial foundation for individuals seeking to operate a Hipointe Drivein franchise. These financial requirements are critical benchmarks designed to ensure that franchisees possess the necessary resources for a successful launch and sustained operation of their Hipointe Drivein franchise.

The Hipointe Drivein franchise is committed to providing a comprehensive training and support structure designed to equip its franchisees with the knowledge and tools necessary for operational excellence and sustained growth. This robust support system begins with extensive operational and pre-opening training, meticulously covering all facets of the business, including day-to-day operations, effective marketing strategies, and superior customer service protocols. This initial training phase is critical for new Hipointe Drivein franchise owners to become fully proficient in the brand's established methods and standards. Beyond the initial setup, ongoing support is a cornerstone of the franchise relationship, encompassing a wide array of services. Franchisees receive expert assistance with site selection, ensuring optimal visibility and accessibility for their Hipointe Drivein location. Guidance on store design is also provided, adhering to brand aesthetics and functional layouts that enhance both customer experience and operational efficiency. Supply chain management support helps franchisees navigate procurement, ensuring access to high-quality ingredients and supplies at competitive prices. Additionally, the brand offers comprehensive marketing programs, providing franchisees with tools and strategies to promote their Hipointe Drivein franchise effectively within their local markets. To further streamline operations, franchisees are provided with essential resources, including detailed operational manuals that serve as a blueprint for daily management, access to proprietary recipes that define the brand's unique culinary offerings, and cutting-edge technology solutions specifically designed to enhance ordering and delivery processes. These technological advancements are crucial for meeting the demands of modern consumers who prioritize convenience and efficiency in their dining experiences. The Hipointe Drivein franchise fosters a culture of continuous improvement through regular communication and dedicated field support, ensuring that franchisees receive timely advice and assistance. Access to a vibrant franchisee network further enriches this support, enabling peer-to-peer learning and the sharing of best practices to optimize performance and foster growth across the entire system. Recognizing the critical role of digital infrastructure in today's business environment, the Hipointe Drivein franchise also provides comprehensive computer and technology support, addressing any technical challenges and ensuring smooth integration of all digital systems. The entire franchise process, from the initial contact with the brand to the exciting opening of a new Hipointe Drivein store, is meticulously structured and typically takes approximately five months, demonstrating an efficient onboarding pipeline. The brand is specifically seeking franchisees who are not only passionate about the concept but also possess the ambition and capacity to open multiple locations simultaneously, contributing significantly to the brand's expansion. Ideal candidates for the Hipointe Drivein franchise are expected to have a minimum of five years of successful restaurant management experience, bringing invaluable industry insight and leadership skills to their ventures. While prior restaurant experience is highly beneficial, it is not an absolute prerequisite, as the extensive training and ongoing support provided by the Hipointe Drivein franchise are designed to empower even those with strong business acumen but less direct industry background to succeed.

For prospective investors evaluating the Hipointe Drivein franchise, understanding the financial performance representations (FPRs) is a critical component of due diligence. It is important to note that franchisors are not legally mandated to provide FPRs in Item 19 of their Franchise Disclosure Document (FDD); however, if they choose to make such claims, they must be meticulously disclosed and thoroughly substantiated within this section. Approximately 60% of franchisors opt to include Item 19, providing valuable insights into potential earnings. For the Hipointe Drivein franchise, specific financial performance figures have been reported, offering a glimpse into potential revenue and profitability. The yearly gross sales have been cited at $767,926, indicating a solid revenue stream for an individual unit. Furthermore, the estimated earnings for an owner-operator are projected to range from $92,152 to $115,189. These figures represent the potential take-home income for a franchisee actively managing their Hipointe Drivein location, reflecting the profitability of the operational model. The franchise payback period, which is the estimated time it takes for an initial investment to be recouped through net cash flows, is reported to be between 6.0 and 8.0 years. This timeframe provides a realistic expectation for return on investment for the Hipointe Drivein franchise. It is crucial for potential franchisees to understand that these figures are presented as insights into potential financial performance and revenue, and they are not guarantees of future results. Actual performance can vary significantly based on a multitude of factors, including the specific location of the Hipointe Drivein franchise, local market dynamics, labor costs, prevailing commercial lease rates, effectiveness of local marketing efforts, and the franchisee's operational efficiency and management skills. The overall financial health of the brand at the end of 2019, prior to its February 2020 bankruptcy filing, provides additional context to its operational history. During this period, the company reported net sales of approximately $40 million, alongside a net loss of $7 million, with cash reserves of $500,000. Despite these broader corporate challenges, a particular highlight was the performance of its catering business. In 2019, the catering segment alone generated sales exceeding $10 million, demonstrating strong year-over-year growth for the 2020 year-to-date period. This robust performance in catering underscores a significant and resilient revenue stream that is a core focus for the Hipointe Drivein franchise opportunity, showcasing its potential to thrive even amidst broader corporate restructuring. This segment's consistent growth highlights the brand's ability to adapt to market demands and capitalize on lucrative service offerings, providing a strong foundation for future Hipointe Drivein franchise units.

The growth trajectory of the Hipointe Drivein franchise has been marked by significant fluctuations and strategic evolutions throughout its history, reflecting a dynamic journey within the competitive foodservice sector. In 1999, the brand operated a chain of 52 stores, with a notable concentration of 20 locations within New York City, establishing an early presence in a key urban market. By 2010, the company had expanded its footprint considerably, reaching 142 corporate locations across various regions. A snapshot in March 2014 revealed a network comprising 72 company-owned restaurants and 49 franchise locations, indicating a balanced approach to expansion through both corporate and franchised units for the Hipointe Drivein franchise. However, the subsequent years saw shifts in this balance, with the number of franchised Cosi locations decreasing to 24 in 2016, and further reducing to 8 franchised locations by 2018. The 2019 Franchise Disclosure Document (FDD) confirmed 8 franchised Hipointe Drivein locations spread across 7 states in the USA, with a notable concentration of 4 of these units situated in the Northeast region. Towards the end of 2019, the company undertook a strategic consolidation, closing 30 unprofitable restaurants to streamline operations and enhance financial viability. During its Chapter 11 bankruptcy filing in February 2020, the brand reported 13 remaining company-owned locations and 16 franchised Hipointe Drivein locations, demonstrating a core network that persisted through challenging times. More recent sources, however, provide conflicting higher figures, which may represent historical highs, broader brand reach, or less precise aggregated data, such as "over 150 restaurants throughout sixteen states and Washington, DC" as of February 2025, "over 100 locations across the U.S. and internationally," and "nearly 150 locations in 16 states that exist today." These varying accounts, while sometimes conflicting, collectively paint a picture of a brand with a significant historical footprint and a potential for resurgence and widespread presence, offering the Hipointe Drivein franchise a legacy of broad market penetration. The chain has primarily concentrated its operations within the United States, specifically across sixteen states and Washington, D.C., establishing a strong domestic market presence. While one source alludes to "internationally," no specific international countries of operation are detailed in the provided information, indicating a largely U.S.-centric growth strategy for the Hipointe Drivein franchise. The competitive advantages of the Hipointe Drivein franchise are deeply rooted in its core value proposition. A steadfast focus on "fresh, high-quality food" differentiates it in a market often saturated with mass-produced options, appealing to discerning consumers. Its signature artisan flatbread sandwiches offer a unique product that stands out. Furthermore, the brand's strong emphasis on catering and delivery services provides a crucial competitive edge, allowing it to tap into evolving consumer preferences for convenience and off-premise dining. This diversified service model, coupled with a comprehensive support structure for franchisees, positions the Hipointe Drivein franchise favorably for future expansion and sustained market relevance.

The Hipointe Drivein franchise is actively seeking sophisticated and ambitious franchisees who are poised to contribute significantly to the brand's strategic expansion. A key preference is for individuals or groups interested in opening multiple locations simultaneously, reflecting a multi-unit development strategy designed to accelerate market penetration and build regional presence for the Hipointe Drivein franchise. This approach is ideal for experienced operators looking to make a substantial investment and impact within a defined territory. Prospective franchisees are expected to possess a robust background, specifically with at least five years of successful restaurant management experience. This requirement ensures that new Hipointe Drivein franchise owners bring valuable operational acumen, leadership skills, and an understanding of the intricacies of the foodservice industry to their ventures. While prior restaurant experience is highly beneficial and preferred, it is not strictly an absolute prerequisite, acknowledging that comprehensive training and extensive support are provided to bridge any gaps in direct industry exposure for otherwise qualified candidates. Financial capacity is a paramount consideration for the Hipointe Drivein franchise. Franchisees are typically required to demonstrate substantial liquid assets, with a specified minimum of $450,000 in readily accessible funds, to cover initial investments, working capital, and unforeseen contingencies. Furthermore, a minimum net worth of $900,000 is generally mandated, signifying a strong overall financial foundation and stability. Beyond experience and financial strength, the ideal Hipointe Drivein franchisee embodies a set of critical qualities, including strong leadership capabilities, acute operational acumen, and a keen business sense. A deep commitment to upholding the brand's high standards, particularly in food quality and customer service, is essential. The brand's primary territory of operation remains within the United States, targeting strategic expansion across sixteen states and Washington, D.C. Historically, there has been a concentration of Hipointe Drivein franchised locations in the Northeast region, which accounted for four of the eight franchised units reported in 2019. This indicates a proven market in this area, but the brand is actively exploring and expanding into other viable territories across the nation. The Hipointe Drivein franchise is specifically seeking individuals who are not only financially capable and experienced but also possess a strategic vision for growth and a passion for delivering exceptional dining experiences.

The Hipointe Drivein franchise represents a compelling investment opportunity for qualified entrepreneurs seeking to engage with a brand characterized by a complex yet resilient history and a clear vision for future growth. This is an entry into a well-established entity that has navigated various market cycles, demonstrating adaptability and an enduring appeal to consumers. The brand's strategic focus on evolving consumer trends, particularly its emphasis on sophisticated catering services and efficient delivery options, positions the Hipointe Drivein franchise to capitalize on the increasing demand for convenience and off-premise dining experiences. This forward-thinking approach, coupled with its commitment to fresh, high-quality food and distinctive artisan flatbread sandwiches, ensures continued relevance in a competitive market. The proven operational model is backed by a robust support system, including comprehensive training, site selection assistance, supply chain management, and cutting-edge technology solutions, all designed to empower franchisees for success. The financial potential of the Hipointe Drivein franchise is underscored by reported yearly gross sales of $767,926 and estimated owner-operator earnings ranging from $92,152 to $115,189, with a projected payback period of 6.0 to 8.0 years. These figures, while not guarantees, offer a strong indication of the revenue generation and profitability that can be achieved through diligent management and adherence to brand standards. The opportunity to acquire a Hipointe Drivein franchise is particularly attractive for experienced restaurant managers with a strong business acumen and the financial capacity to develop multiple locations, further amplifying their investment and impact within the brand's expanding footprint. The extensive support and training provided are instrumental in fostering optimal performance and growth, making this a viable venture for those committed to operational excellence and customer satisfaction. This proposition invites serious investors to become part of a brand that continually evolves, maintaining its core values while embracing innovation. Explore the complete Hipointe Drivein franchise profile on PeerSense to access the full suite of independent franchise intelligence data.

FPI Score

35/100

SBA Default Rate

50.0%

Active Lenders

2

Key Highlights

Data Insights

Key performance metrics for Hi-Pointe Drive-In based on SBA lending data

SBA Default Rate

50.0%

1 of 2 loans charged off

SBA Loan Volume

2 loans

Across 2 lenders

Lender Diversity

2 lenders

Avg 1.0 loans per lender

Investment Tier

Premium investment

$751,500 – $1,246,900 total

Hi-Pointe Drive-In — Deep SBA Data

Brand-specific metrics derived directly from SBA 7(a) approval records — peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.

Peak SBA Year

2021

1 approvals — best year on record for Hi-Pointe Drive-In.

Top SBA State

Illinois

2 SBA-financed Hi-Pointe Drive-In locations — the densest operator footprint.

Average Loan Size

$1.3M

Median $1.3M — use as a sizing anchor when modeling your own $Hi-Pointe Drive-In unit.

Lender Concentration

100%

Concentrated

Share of Hi-Pointe Drive-In approvals captured by the top 3 SBA lenders.

Hi-Pointe Drive-In's SBA lending pipeline peaked in 2021 (1 approvals). The last five fiscal years account for 50% of cumulative volume ($2.1M approved). Operator density is highest in Illinois with 2 SBA-financed locations. Average funded ticket sits at $1.3M, with the median at $1.3M. Lender mix is concentrated: the top three SBA lenders account for 100% of approvals — credit decisions concentrate with a small group of incumbents.

Payment Estimator

Loan Amount$601K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$7,779

Principal & Interest only

Locations

Hi-Pointe Drive-Inunit breakdown

Total Units
N/A
Franchisee Owned
System Owned
Closed

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Hi-Pointe Drive-In