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Huddle House

Huddle House

The total investment to open a Huddle House franchise ranges from $95,100 to $707,000. The initial franchise fee is $68,750. Ongoing royalties are 4% plus a 2% advertising fee.

What is the Huddle House franchise?

Huddle House is a casual dining restaurant chain built around Southern hospitality and an all day menu of breakfast, lunch, and dinner. Founder John Sparks, a restaurant equipment supplier, opened the first location in Decatur, Georgia, in April 1964. His 24 hour restaurant concept served fans after local football games and inspired the Huddle House name. Current franchise data lists 118 total units, all franchised, with no company owned locations. Other disclosures report 272 locations across 21 states as of April 2024, with October 2025 data also citing 272 locations nationally. Huddle House operates in the $285 billion breakfast restaurant market. Franchise data places its headquarters in GROVETOWN, GA, while historical records identify Atlanta, Georgia, as a corporate hub. Ascent Hospitality Management, a multi brand holding company created by Elysium Management, supports the brand. This overview separates available operating and investment data from promotional claims for buyers reviewing the franchise opportunity.

Huddle House operates in the full service restaurant sector, while breakfast represents a $285 billion market. Customers increasingly seek customized dining, quality local options, and formats suited to changing lifestyles. The brand's "Any Meal. Any Time." concept addresses those preferences, with many restaurants operating 24 hours and serving breakfast, lunch, dinner, and late night meals. Breakfast generates about 60% of business and generally carries lower food costs with higher margin potential. The company also uses a smaller market strategy and a smaller restaurant footprint than competitors such as Denny's and IHOP, which can reduce overhead and support a more community focused experience. Labor challenges and rising operating costs still require hands on management. Huddle House competes in a fragmented casual dining category, supported by decades of recognition and an established presence in smaller, under penetrated markets.

The current franchise fee is $68,750. Historical research cited a prior fee of $35,000. Current franchise data places the initial investment at $95,100 to $707,000. Other research reports ranges of $558,000 to $1,443,000 and, in some cases, up to $1,715,275. These differences may reflect new construction, conversions, store formats, market conditions, or reporting periods. In 2012, a New Development Unit required $404,180 to $1,485,310, while a Resale Unit required $112,480 to $657,810. Investment costs can include construction, equipment, initial inventory, and initial operating expenses, with the final amount affected by the restaurant type, location, and whether the property is leased or purchased. Franchisees must have at least $100,000 in liquid capital available for investment. Historical materials cited $250,000 and a minimum net worth of $600,000 for new restaurant development in 2012. The royalty is 4% of gross sales. Based on the current investment range, Huddle House represents a mid tier full service restaurant investment compared with higher cost concepts.

Huddle House owners receive operating guidance through a four walls operations plan and training materials called the "eagles playbook." The playbook covers hiring, training, developing, encouraging, and motivating employees. The customer service index rose from 74.5 to 80.1, measuring food temperature, food quality, and staff friendliness. The brand emphasizes attentive service, quick execution, and consistent food while seeking to become part of each neighborhood. Formats include in line, endcap, freestanding, truck stop, and travel plaza restaurants. The Evolution redesign had remodeled 53% of stores by the end of 2017, with 63% on track for renovation. Training includes 307 hours of hands on work at an existing location and 58 hours in the classroom. New franchisees can receive up to three weeks of onsite opening support. A real estate department with more than 25 years of experience assists with site selection and negotiation, while a construction team supports the building process. Huddle House also provides in house supply distribution, a one stop in house grocery program, marketing help, continuing operating training, and third party delivery partnerships. Its smaller market strategy can target communities with populations as small as 5,000. Franchisees may purchase the land and building to build equity and own positions in under penetrated markets. Prime markets may have limited availability, and the company encourages multi unit ownership. Gregg Hansen operates 21 units.

Web research citing the 2024 FDD reports average annual unit volume of $774,871 across 261 Huddle House restaurants. Differences among these figures may reflect the FDD year, the units included, the reporting period, or the effect of the Evolution redesign. Remodeled restaurants reported 31.5 percent higher sales than earlier designs. Huddle House emphasizes lower cost breakfast foods, which account for about 60% of business, along with centralized purchasing, an in house supply chain, a simplified menu, and buying power. Breakfast generally has the lowest food costs of any meal.

Huddle House has experienced changes in unit counts alongside periods of expansion. Current franchise data lists 118 franchised units. Broader records show a decline from 313 total units, including 260 franchised units, at the start of 2021 to 272 stores, including 216 franchised units, at the end of 2023. In 2023, another report listed 295 total units, consisting of 242 franchised and 53 company owned locations. In 2017, the brand added 36 locations and ended its fiscal year with 401 locations open or in development, its strongest franchise growth year in 15 years. In 2005, Huddle House had nearly 400 restaurants in fourteen states, including 145 locations in Georgia, and 93% of its 370 outlets were franchises. In 2013, the Atlanta based franchise operated 400 units across 21 states. On September 12, 2019, Huddle House announced the acquisition of Perkins Restaurant and Bakery. In November 2024, it signed a 20 store development agreement with WE Food Enterprises Hospitality Group, expanding its presence in Texas. The first store was expected to open by June 2025 in Spring, Texas, with three more planned for that month. A Louisiana agreement is expected to add locations in Longville and Merryville in 2025 to the state's existing 9 locations. Recent openings in Lynchburg, VA, Owensboro, KY, and Nahunta, GA, plus a 10 year renewal in Lady Island, S.C., came from existing franchise owners. The brand is expanding in the Northeast and Midwest while maintaining its Southeastern base. Its strengths include more than 50 years of recognition, a small town community focus, the "Any Meal. Any Time." concept, centralized supply, flexible formats, and remodeled stores with 31.5% higher sales. Ascent Hospitality Management leaders James O'Reilly, CEO, and Peter Ortiz, Chief Development Officer, support the company's growth direction. The 2014 launch of "Big Bold Burgers" increased burger sales by 20%. The "Hot Tots" limited time offer represented 8% of sales. Menu additions included chicken wings, butterfly shrimp, and children's offerings. Huddle House was named one of the Top 200+ Franchises by Franchise Times, a 2023 Top 200 Restaurant by Technomic, and received Nation's Restaurant News' "Hot! Again" award in 2004. Third party delivery and social media support digital outreach, while the brand focuses on under penetrated markets instead of broad television advertising.

An ideal franchise candidate brings passion, leadership, and business judgment, with or without restaurant experience. Huddle House recruits from varied professional backgrounds and provides extensive training. Restaurant experience can still help operators build on prior skills. The company seeks both single unit and multi unit investors, as shown by the 20 store Texas agreement and Gregg Hansen's 21 units. Available territories are targeted in the Northeast and Midwest alongside the established Southeastern footprint. The smaller market strategy focuses on under penetrated communities with populations as small as 5,000.

Loan Activity Score

39/100

SBA Default Rate

20.9%

Active Lenders

68

According to its Franchise Disclosure Document or public business records, Huddle House has 95 locations, all owned by franchisees. Public SBA loan records show 68 lenders made 134 loans to franchisees of Huddle House. PeerSense calculates Huddle House's score as 39 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2026 Franchise Disclosure Document.

2026 FDD VERIFIEDFull-Service Restaurants

Franchising since 1964 · 95 locations

Investment

$95,100 to $707,000

Franchise Fee

$68,750

Total Units

95

95 franchised

Loan Activity Score
High
39
SBA Lending
10
Lender Quality
7
Transparency
10
Reach
9
Momentum
3

Proprietary PeerSense metric

Fair
Capital Sources
68SBA lenders

Distinct lenders in public SBA records for Huddle House

134

Total SBA loans

$409K

Average loan size

Source: public SBA 7(a) and 504 loan records through December 31, 2025

Referral fee at closing

SBA Lending Activity for Huddle House

Loan Activity Score Breakdown

Major Brand (100+ loans)

High Confidence
39out of 100
Fair
Market Momentum3/35

Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.

Loan Safety10/25

Blended default rate (recent + all time) compared to NAICS sector peers.

Lender Confidence7/15

Quality lenders actively backing this brand, with penalty for lender pullback.

Transparency10/15

FDD availability, Item 19 disclosure, and overall data completeness.

Footprint9/10

Geographic spread of SBA funded locations across states.

SBA Lending Performance

SBA Default Rate

20.9%

vs 10.3% peer avg

SBA Loans

134

Total Volume

$54.8M

Active Lenders

68

4 selective

States

18

vs. SBA Sector Average

-10.6%higher default rate

SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors

Key Highlights

Item 19 financial data disclosed

Data Insights

Key performance metrics for Huddle House based on SBA lending data

SBA Default Rate

20.9%

10.6% above peer avg

SBA Loan Volume

134 loans

Across 68 lenders

Lender Diversity

68 lenders

Avg 2.0 loans per lender

Investment Tier

Significant investment

$95,100 to $707,000 total

Huddle House: 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

2008

10 approvals. The best year on record for Huddle House.

Top SBA State

Georgia

36 SBA financed Huddle House locations, the densest operator footprint.

Average Loan Size

$409K

Median $294K. Use as a sizing anchor when modeling your own Huddle House unit.

Lender Concentration

19.4%

Highly Diversified

Share of Huddle House approvals captured by the top 3 SBA lenders.

Huddle House's SBA lending pipeline peaked in 2008 (10 approvals). The last five fiscal years account for 4% of cumulative volume ($8.6M approved). Operator density is highest in Georgia with 36 SBA financed locations. Average funded ticket sits at $409K, with the median at $294K. Lender mix is highly diversified: the top three SBA lenders account for 19.4% of approvals. Borrowers have leverage to shop multiple credit boxes.

Payment Estimator

Loan Amount$76K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$984

Principal & Interest only

Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.

Locations

Huddle House, unit breakdown

Total Units
N/A
Franchisee Owned
n/a
System Owned
n/a
Closed
n/a

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Huddle House

Page Review

Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense

  • PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
  • Edward L. Freeman founded PeerSense in January 2020.
  • He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
  • His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
  • In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page

Last reviewed LinkedIn profileAbout Edward Freeman