Prime Rate:6.75%Fed Funds:3.64%5-Yr Treasury:3.88%10-Yr Treasury:4.25%30-Yr Treasury:4.83%30-Yr Mortgage:6.22%·Updated Mar 19, 2026Prime Rate:6.75%Fed Funds:3.64%5-Yr Treasury:3.88%10-Yr Treasury:4.25%30-Yr Treasury:4.83%30-Yr Mortgage:6.22%·Updated Mar 19, 2026
Rates
Red Phone Booth

Red Phone Booth

Franchising since 2002 · 2 locations

The total investment to open a Red Phone Booth franchise ranges from From $500,000. The initial franchise fee is $50,000. Red Phone Booth currently operates 2 locations (2 franchised). PeerSense FPI health score: 50/100.

Investment

From $500,000

Franchise Fee

$50,000

Total Units

2

2 franchised

FPI Score
Low
50

Proprietary PeerSense metric

Moderate
Capital Partners
2lenders available

Active capital sources verified for Red Phone Booth 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
50out of 100
Moderate

SBA Lending Performance

SBA Default Rate

0.0%

0 of 2 loans charged off

SBA Loans

2

Total Volume

$5.4M

Active Lenders

2

States

2

What is the Red Phone Booth franchise?

Franchise investors often grapple with the challenge of identifying unique, high-potential concepts in a saturated market, a concern that can lead to significant capital risk or misaligned investments. The Red Phone Booth franchise addresses this by offering a distinct, upscale 1920s Prohibition-era speakeasy and craft cocktail lounge experience, a concept meticulously founded and curated by Stephen de Haan. De Haan, whose extensive hospitality career began in Buckhead and includes co-founding over ten successful establishments since 2002, launched the flagship Red Phone Booth location in Downtown Atlanta in 2016, drawing inspiration from his grandfather, a cigar smoker and pharmacist during the Prohibition era. Operating under its parent company, Roaring Franchises, the brand stands out with its sophisticated ambiance, handcrafted cocktails, an exclusive cigar program, unparalleled service, and a distinctive entry system requiring a secret phone number to gain access via a restored antique London red phone booth. As of early 2024, the brand operates 6 nationwide locations, with 2 franchised units and 0 company-owned units, indicating a focused franchise growth model within the United States, even as the company expresses an aim "to bring our prohibition experience to the world!" This unique Red Phone Booth franchise opportunity positions itself within the expansive global alcoholic beverages market, estimated at USD 73.65 billion in 2024 and projected to reach USD 144.75 billion by 2034, growing at a robust Compound Annual Growth Rate (CAGR) of 6.99% from 2025 to 2034. The Red Phone Booth franchise is particularly relevant for investors seeking a differentiated market entry in the "Drinking Places (Alcoholic Beverages)" category, capitalizing on strong consumer demand for premiumization and curated, experiential nightlife. This analysis provides an independent, data-driven assessment, distinct from promotional materials, to guide serious franchise investors in their due diligence.

The global alcoholic beverages market is a colossal and dynamic sector, presenting significant opportunities for well-positioned franchise concepts. Valued at approximately USD 73.65 billion in 2024 and projected to reach USD 144.75 billion by 2034, this market is expanding at a healthy Compound Annual Growth Rate (CAGR) of 6.99% from 2025 to 2034, according to one detailed analysis. Other market estimations underscore this immense scale, with some valuing the global market at USD 2.5 trillion in 2025, forecasted to reach USD 4.3 trillion by 2034 with a 6.2% CAGR, or at USD 1.83 trillion in 2025, growing to USD 2.25 trillion by 2031 at a 3.53% CAGR. Specifically, the U.S. alcoholic beverages market alone was valued at USD 252.85 billion in 2025 and is projected to grow to USD 254.65 billion by 2026. The Red Phone Booth franchise directly taps into several powerful consumer trends, most notably the strong and growing demand for premiumization and craft products, where consumers, particularly Gen Z and millennial demographics, actively seek unique tastes, authenticity, and handcrafted experiences over mass-produced alternatives. The increasing trend of socialization and a resurgence in social gatherings following the lifting of COVID-19 restrictions further drives demand for "on-trade" consumption in venues such as clubs, bars, and pubs, a segment that accounted for 30% of the 2024 market and is identified as the fastest-growing during the forecast period. Secular tailwinds like rising disposable incomes, especially in emerging economies and among the middle class, lead to higher spending on premium and branded alcoholic beverages, aligning perfectly with the Red Phone Booth franchise's upscale offering. North America is expected to be the fastest-growing region in the alcoholic beverages market during the forecast period (2026-2034) at a CAGR of 6.5%, while Asia Pacific dominated the global market in 2025 with a market size of USD 1049.69 billion and a 40.9% share, indicating widespread growth potential. The industry's competitive landscape remains largely fragmented, with numerous independent operators, which creates a significant opportunity for a well-capitalized, differentiated concept like the Red Phone Booth franchise to establish a strong brand presence and consolidate market share through its consistently high-quality, branded experience. Macroeconomic forces, including a renewed desire for unique entertainment options and increased experiential spending, create a fertile environment for strategic Red Phone Booth franchise expansion.

Investing in a Red Phone Booth franchise involves a clear financial commitment, starting with an initial franchising fee of $50,000, which is a one-time payment providing the rights to operate under the established brand. This fee is positioned within the typical range for sophisticated hospitality concepts, reflecting the value of the brand's intellectual property, operational model, and initial training provisions. The total investment necessary to begin operation of a Red Phone Booth franchise ranges from $500,000 to $2,000,000. This substantial investment spread is characteristic of high-end bar and lounge concepts, influenced by variables such as the size and existing condition of the real estate, local construction labor and material costs, the extensive interior build-out required to meticulously recreate the distinct 1920s Prohibition-era ambiance, and the specific local licensing and permitting fees. The minimal startup cost, encompassing the franchise fee and other initial outlays, stands at $500,000. Crucially, the total investment range includes a dedicated allocation of $30,000 to $60,000 for working capital, designed to cover various operational expenses during the crucial first three months of operation, thereby ensuring financial stability during the initial launch and ramp-up phase. While specific ongoing royalty rates and advertising fund contributions for the Red Phone Booth franchise are not explicitly stated in the provided data, industry benchmarks for ongoing royalty fees typically range from 4% to 8% of gross sales, with advertising fees commonly falling between 1% to 5% of gross revenues, often around 2% to 4%. Roaring Franchises, the parent company, provides an "expert marketing team" to develop consumer plans for local markets and craft strategies for the entire network, suggesting a structured contribution for marketing efforts. Given the initial investment range of $500,000 to $2,000,000, the Red Phone Booth franchise is categorized as a premium investment opportunity within the food and beverage industry, appealing to discerning investors with significant capital resources. The specialized focus of Roaring Franchises in the nightlife sector provides dedicated corporate backing and deep expertise for this specific market segment, offering a valuable support structure for Red Phone Booth franchise owners.

The operational model for a Red Phone Booth franchise owner centers on managing an upscale 1920s Prohibition-era speakeasy and craft cocktail lounge, with a paramount emphasis on delivering a sophisticated ambiance, meticulously handcrafted cocktails, an exclusive cigar program, and unparalleled customer service. Daily responsibilities encompass overseeing a premium beverage program that features an extensive selection of 400+ premium spirits, including rare bourbons, whiskeys, tequilas, and Japanese whiskies, alongside managing an extensive walk-in humidor offering a wide array of premium cigars. Franchisees also manage the offering of Italian-inspired appetizers and authentic Neapolitan pizzas. A core element of the customer journey is the brand’s distinctive entry system, which requires a secret phone number to gain access via a restored antique London red phone booth, creating an exclusive and memorable experience. The operational infrastructure is supported by state-of-the-art AAON ventilation systems, which incorporate Needlepoint Bipolar Ionization technology, capable of completely cleaning or replacing 100% of the air approximately every two minutes. This advanced air purification system, also utilized in hospitals and universities, has been tested for SARS-CoV-2 and achieves a 99.4% reduction of the surface strain within 30 minutes, providing a significant operational advantage in terms of customer comfort and health. Roaring Franchises offers a comprehensive "dual phase program" for its Red Phone Booth franchise partners, which includes intensive hands-on instruction at the corporate headquarters located in Atlanta, GA, followed by practical on-the-job training at the franchisee’s specific location. This commitment ensures franchisees receive "world-class food and beverage franchise model and training," preparing them thoroughly for the unique operational complexities of the Red Phone Booth concept. Furthermore, the parent company provides "ongoing operational support whenever you need it," facilitated by a dedicated team of experts focused on delivering a "world-class operational model, comprehensive training, and continued support to ensure success." This support extends to an "expert marketing team" that develops consumer plans tailored for local markets and crafts strategic campaigns for the entire network, thereby alleviating a significant marketing burden from individual Red Phone Booth franchise owners. Each Red Phone Booth franchise territory is strategically designed to encompass a "population center of 100,000 people," reflecting a deliberate approach to market selection that ensures sufficient customer density for a premium, experiential concept. The model generally anticipates an owner-operator engagement, given the brand's unwavering focus on service quality and the immersive customer experience.

Regarding financial performance, it is important to note that Item 19 financial performance data is not disclosed in the current Franchise Disclosure Document for the Red Phone Booth franchise. Under Federal Trade Commission (FTC) regulations, franchisors are not legally mandated to provide financial performance representations, although an increasing number, approximately 60% to 66%, choose to do so. The absence of an Item 19 disclosure means that specific financial metrics such as average unit revenue, median revenue, typical profit margins, or estimated payback periods are not publicly available through the FDD for the Red Phone Booth franchise. Despite this, the broader "Drinking Places (Alcoholic Beverages)" category presents substantial revenue potential, with the U.S. market alone valued at USD 252.85 billion in 2025. Pubs, bars, and restaurants collectively captured 30% of the 2024 market share and are identified as the fastest-growing segment, highlighting robust consumer demand for on-premise consumption experiences. The Red Phone Booth franchise's upscale, experiential model, which caters to the strong premiumization trend, is strategically positioned to command higher average check sizes and potentially generate greater revenue per square foot compared to more conventional bar concepts. The brand's consistent growth trajectory, expanding from its original Downtown Atlanta location in 2016 to 6 nationwide locations by early 2024, with notable openings like Buckhead, Atlanta (August 13, 2021), Dallas, TX (The Colony, March 10, 2023, as the fourth location), and Miami, FL (Brickell neighborhood, early 2024, as a franchise location), suggests a successful and scalable unit-level performance that encourages ongoing expansion. The planned opening of the sixth nationwide location in Tampa, FL, in 2025, and the seventh in Durham, NC, in June 2026, further reinforces confidence in the concept's operational and financial viability. The involvement of founder Stephen de Haan, with a track record of co-founding over ten successful establishments since 2002, alongside operating partner Ramon Arocha and actor Michael Cudlitz as a co-owner in some locations, provides strong leadership and industry credibility. The brand is also recognized as an "award-winning concept," which can enhance customer appeal and perceived value, indirectly supporting unit-level financial performance. The consistent expansion into key metropolitan markets like Nashville, Dallas, Miami, Tampa, and Durham, coupled with the development of new franchise locations and a corporate location in Orlando, FL, implies that existing Red Phone Booth franchise units are generating sufficient returns to warrant further capital investment from both the franchisor and new franchisees. The substantial initial investment range of $500,000 to $2,000,000 indicates a business model designed for considerable revenue generation to justify such a capital outlay.

The Red Phone Booth franchise has demonstrated a strategic and consistent growth trajectory since its inception, expanding from its original Downtown Atlanta location in 2016 to 6 nationwide locations by early 2024. This growth includes the opening of the Buckhead, Atlanta, location on August 13, 2021, followed by the Dallas, TX (The Colony) venue on March 10, 2023, which marked the brand's fourth location. Miami, FL (Brickell neighborhood), opened as a franchise location in early 2024, with Tampa, FL, slated to open in 2025 as the sixth nationwide location and the second franchise in Florida. The brand's first North Carolina venue and seventh nationwide location in Downtown Durham is officially set to open in June 2026, locally owned and operated by Dr. Ralph Mensah and Dr. Michael Thomas. Beyond this steady franchise expansion, RBP Hospitality, the team behind the Red Phone Booth franchise, is actively pursuing a corporate location in Orlando, FL, and is strategically eyeing Naples, FL, and Denver, CO, for additional future locations. The company also exhibits innovation by planning to open multiple new concepts in Downtown Atlanta at 207 Peachtree by Spring 2026, including a dive bar, a sports bar, a rooftop lounge, and a 10,000-square-foot event space known as the Grand Ballroom, showcasing a broader vision for hospitality beyond the core Red Phone Booth concept. The Red Phone Booth franchise maintains a robust competitive moat through several distinctive advantages. Foremost is its highly differentiated "1920s Prohibition-era speakeasy" concept, coupled with the unique secret phone number entry system via a restored antique London red phone booth, which creates an exclusive, memorable, and loyalty-building customer experience. The brand's unwavering commitment to "unparalleled service," a "handcrafted cocktail" program featuring over 400 premium spirits, and an "exclusive cigar program" with a walk-in humidor significantly elevate its offering above typical bar establishments. Furthermore, the integration of state-of-the-art AAON ventilation systems with Needlepoint Bipolar Ionization technology, capable of cleaning 100% of the air approximately every two minutes and achieving a 99.4% reduction of SARS-CoV-2, provides a substantial operational and public health advantage, particularly relevant in current market conditions. The Red Phone Booth franchise also offers memberships, further enhancing customer loyalty and providing a potential recurring revenue stream. This synergistic combination of experiential design, premium product offerings, and advanced operational technology establishes a formidable competitive barrier in the evolving nightlife hospitality landscape.

The ideal Red Phone Booth franchise owner is typically a sophisticated individual or group with a robust background in hospitality management, high-end restaurant operations, or luxury retail, given the brand’s emphasis on a sophisticated ambiance, premium service, and intricate beverage programs. Essential qualities include demonstrated experience in managing a diverse team, expertise in inventory control for an extensive selection of 400+ spirits and a specialized cigar program, and an unwavering commitment to delivering a curated and exclusive customer experience. While specific liquid capital and net worth requirements are not publicly available, the substantial initial investment range of $500,000 to $2,000,000 strongly indicates that the franchise is designed for well-capitalized individuals or investment groups. The Red Phone Booth franchise strategically targets "population centers of 100,000 people," focusing on urban and affluent suburban markets that possess the demographic and economic characteristics to support a premium speakeasy concept. Current and planned locations in Downtown Atlanta, Buckhead, Nashville, Dallas (The Colony), Miami (Brickell), Tampa, and Durham exemplify this strategy, targeting vibrant nightlife districts and upscale neighborhoods with high disposable incomes. The brand is also actively eyeing expansion into Naples, FL, and Denver, CO, further underscoring its preference for high-growth, affluent markets. While a precise timeline from the signing of a Red Phone Booth franchise agreement to the grand opening is not explicitly provided, the complexity inherent in building out a concept of this caliber, including the installation of specialized ventilation systems and bespoke interior design elements, typically suggests a development period ranging from 12 to 24 months, contingent on real estate acquisition, permitting processes, and construction schedules.

The Red Phone Booth franchise presents a compelling investment thesis for discerning entrepreneurs seeking entry into the high-growth, premium segment of the alcoholic beverages market. This unique 1920s Prohibition-era speakeasy concept, distinguished by its secret entry system and unwavering commitment to handcrafted cocktails, an exclusive cigar program, and unparalleled service, is expertly positioned to capitalize on the robust consumer demand for premiumization and experiential nightlife. With a proven growth trajectory from its 2016 founding to 6 nationwide locations, backed by an experienced founder and comprehensive operational and marketing support from its parent company, Roaring Franchises, the Red Phone Booth franchise is strategically poised to capture significant market share in a fragmented industry. The substantial initial investment ranging from $500,000 to $2,000,000 reflects the premium nature of the concept and its potential for substantial returns in carefully selected, high-density markets. PeerSense provides exclusive due diligence data including SBA lending history, FPI score, location maps with Google ratings, FDD financial data, and side-by-side comparison tools. Explore the complete Red Phone Booth franchise profile on PeerSense to access the full suite of independent franchise intelligence data.

FPI Score

50/100

SBA Default Rate

0.0%

Active Lenders

2

Key Highlights

Low SBA default rate (0.0%)

Data Insights

Key performance metrics for Red Phone Booth based on SBA lending data

SBA Default Rate

0.0%

0 of 2 loans charged off

SBA Loan Volume

2 loans

Across 2 lenders

Lender Diversity

2 lenders

Avg 1.0 loans per lender

Payment Estimator

Loan Amount$400K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$5,176

Principal & Interest only

Locations

Red Phone Boothunit breakdown

Total Units
N/A
Franchisee Owned
System Owned
Closed

Explore Funding for Red Phone Booth

Our business financing consultants help connect you with the right lending partners. No retainers — referral fee paid at closing.

By submitting, you agree to be contacted by PeerSense regarding franchise financing options. We never share your information.

Or get an instant analysis

Scan Your Deal Instantly
Red Phone Booth