- 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.
3 Ways to Get on The Road to Franchising — And How to Find the Right Business For You
Although franchising contributes significantly to the US economy, most US business schools lack dedicated franchising curriculums. These three sources will help you get started and find out which franchise is right for you.
Looking for a Spotless Investment Opportunity? Discover the Best Cleaning Franchises to Own in 2024.
From sparkling floors to polished windows, clean your way to success with the best cleaning franchises, according to the 2024 Franchise 500 Ranking.
One Factor Is Helping This Entrepreneur Tackle Business Ownership Later in Life. Now, She's Jumping Into a $20 Billion Industry.
Stacey Howell has reinvented herself multiple times. In her latest move, she leverages her extensive corporate career, history of public service and experience running a nonprofit as a Woodhouse Spa franchisee.
This Franchise Leader Just Became the Newest Investor on Dragons' Den, the Canadian Shark Tank
Brian Scudamore, founder and CEO of 1-800-GOT-JUNK?, is joining the cast of Dragons' Den in Canada.
'Ponzi Scheme-Level Stuff': This CEO Is on a Mission to Grow His Business Ethically While Fighting an Industry Crisis
Rolling Suds CEO Aaron Harper is growing the company's brand, but that's not the only thing the industry veteran is building.
An Innovative Financing Technique is Gaining Traction — And It's a Big Factor in the Potential $9.5 Billion Subway Acquisition
Roark Capital's proposed acquisition of Subway introduces a significant pivot. This strategy shift towards a substantial debt model underlines the evolving dynamics of franchise growth and capital structure, spotlighting the broader acceptance of whole business securitization as a cornerstone in franchise financing.