Huddle House, Inc. is a privately-held casual dining restaurant chain. The restaurant chain's 400 locations are primarily owned by franchisees. Spread across the Southeastern United States, Huddle House focuses on providing a comfortable family dining experience. Most Huddle House locations are open 24 hours. Huddle House, Inc. generates revenues from restaurant sales at its company-owned locations as well as through fees it charges its franchisees. Founded in 1964 by John Sparks, Huddle House is headquartered in Atlanta, Georgia.
Overview & Corporate Organization
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|Hospitality & Leisure > Restaurants > Casual Dining Restaurants|
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Charts, Financials, and Statistics (Table Format)
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|*||Huddle House, Inc. fiscal year end: 12/31|
Charts, Financials, and Statistics (Graphs)
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Mergers & Acquisitions
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Detailed Business Description: Huddle House, Inc.
Huddle House's two significant sources of revenues include corporate-owned restaurant sales and fees paid by its franchisees. Company-operated restaurants generate approximately 55% of sales, with franchisee fees making up the remainder. Huddle House charges franchisees a 4.75% royalty fee and a 1.5% advertising fee on all sales. Additional revenues come from a $25,000 opening fee when franchisees open new Huddle House locations.
Huddle House's primary expense is the restaurant chain's cost of goods sold. By franchising out the majority of its restaurants, the company keeps this cost low. Huddle House also leaves the development expenses and other intial costs of opening a location to franchisees. Other significant costs include rent expense and the cost of labor at the restaurant locations. Huddle House, Inc.'s operating margin is above 33%.
Huddle House was founded in 1964. John Sparks, the restaurant chains… Continue Reading →