- 2024 Franchise 500 Rank
-
#19 Not ranked last year
- Initial investment
-
$1.2M - $6.6M
- Units as of 2023
-
1,832 3.4% over 3 years
Company Overview
In 1958, Al Lapin opened the first International House of Pancakes in Toluca Lake, California. The restaurant, whose menu was originally based on pancakes, quickly grew in popularity and by 1962 there were 50 IHOP locations.
Through the years, a number of items were added to the menu, and today IHOP has a full lunch and dinner menu, offering favorites such as hamburgers, salads and pastas. The breakfast menu, which is served any time, also grew and now includes waffles, French toast and omelets.
The company has been publicly traded on the NASDAQ as part of Dine Brands Global Inc. (DIN), which also operates Applebee's and Fuzzy's Taco Shop. Today there are approximately 1,800 franchised IHOP restaurants around the world.
About IHOP
| Industry | Food |
|---|---|
| Related Categories | Breakfast/Brunch Restaurants, Miscellaneous Full-Service Restaurants |
| Founded | 1958 |
| Parent Company | IHOP Franchisor LLC |
| Leadership | Jay Johns, President |
| Corporate Address |
10 W. Walnut St., 5th Fl. Pasadena, CA 91103 |
| Social | Facebook, Twitter, LinkedIn, Instagram, YouTube |
Business Overview
| Franchising Since | 1960 (64 years) |
|---|---|
| # of employees at HQ | 637 |
| Where seeking |
This company is offering new franchises in the following US states: Alaska, Alabama, Arkansas, California, Colorado, Connecticut, District of Columbia, Delaware, Georgia, Hawaii, Iowa, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Maine, Michigan, Missouri, Mississippi, Montana, North Carolina, Nebraska, New Hampshire, New Jersey, Nevada, New York, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Virginia, Vermont, Washington, Wisconsin, Wyoming This company is offering new franchises in the following international regions: Asia, Middle East, Canada, South America, Mexico |
| # of Units | 1,832 (as of 2023) |
|
|
|
Information for Franchisees
Here's what you need to know if you're interested in opening a IHOP franchise.
Financial Requirements & Ongoing Fees
Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
|
Initial Franchise Fee
|
$50,000 |
|---|---|
|
Initial Investment
|
$1,178,432 - $6,649,797 |
|
Net Worth Requirement
|
$500,000 |
|
Cash Requirement
|
$1,500,000 |
|
Royalty Fee
|
4.5% |
|
Ad Royalty Fee
|
3.5% |
|
Term of Agreement
|
Term of lease (typically 20 years) |
| Is franchise term renewable? | Yes |
Financing Options
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
| In-House Financing | IHOP offers in-house financing to cover the following: franchise fee |
|---|
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
| On-The-Job Training | 273.5 hours |
|---|---|
| Classroom Training | 42.5 hours |
| Ongoing Support |
Purchasing Co-ops
Newsletter
Meetings & Conventions
Toll-Free Line
Grand Opening
Online Support
Security & Safety Procedures
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
|
| Marketing Support |
Co-op Advertising
National Media
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App
|
Operations
Additional details about running this franchise.
| Is absentee ownership allowed? | No |
|---|---|
|
Can this franchise be run from home/mobile unit?
|
No |
|
Can this franchise be run part time?
|
No |
| # of employees required to run | 50 |
|
Are exclusive territories available?
|
Yes |
Franchise 500 Ranking History
Compare where IHOP landed on this year's Franchise 500 Ranking versus previous years.
Additional Rankings
Curious to know where IHOP ranked on other franchise lists? Find out below.
Sign Up for Our Franchise Newsletter
Stay up to date on the latest news and trends affecting the franchise industry.
Related Franchises
Are you eager to see what else is out there? Browse franchises that are similar to IHOP.
Related Franchise Content
Catch up on the latest franchise news, trends, and more.
This Entrepreneur Built and Sold a Franchise for Millions. Now He's Betting Big on a $1.38 Billion — and Growing — Industry.
David Graham built and sold Code Ninjas for millions. Now, he's all-in on an emerging franchise market.
Hilton Launches 'Hilton for Business,' Digital Travel Program Aimed at SME's
The global initiative offers a suite of tools for business travel booking and management, coupled with Hilton Honors benefits for SME's and their employees worldwide.
What Franchisors — and Franchisees — Need to Know About Local Video Marketing
Explore how franchisors can effectively use video marketing to connect with both business partners and customers and why many are missing out on this opportunity.
Wendy's Ushers in New Leadership as The Strategy to Propel The Fast Food Giant Into Its Next Growth Phase Continues
Learn about the strategic vision behind appointing a seasoned industry leader to steer Wendy's toward future growth in the highly competitive fast-food industry.
Commanding a Premium Franchise Sale in a Cautious 2024 Private Equity Investment Climate
Perfect market timing is difficult to pull off, but excellent preparation and building a valuable business in the first place is much more under your control.
Burger King Is Upping its Rebrand Strategy With a $1 Billion Acquisition. These Franchise Resets Could Tell Us About the Fast Food Giant's Chances of Succeeding.
Discover the details behind RBI's strategic acquisition of Carrols Restaurant Group, a move that represents a significant step in a broader campaign to rejuvenate the Burger King brand, and compare it to past major franchise rebrands.