5/10

Franchimp Summary Rating

7 /10
Earnings Transparency
3 /10
Investment Accessibility
Higher than 77% of peers

Franchise Summary

Description
Cheba Hut franchiseesoperate quick-service sandwich restaurants featuring toasted submarine sandwiches, original sauces, salads, soups, chips, brownies, and other high-quality food and beverage items in a fun, causal and distinctive atmosphere ("Cheba Hut Business (es) ").
Company Background
Cheba Hut is a fast casual restaurant franchise with locations throughout the U.S., Canada, and Australia that offer toasted submarine sandwiches, original sauces, salads, soups, chips brownies and other high-quality food and beverage items in a fun causal atmosphere.
Franchise Opportunity
Finding a quick and tasty meal that doesn't break your bank account can be hard. But it doesn't have to be! At Cheba Hut, we offer delicious sandwiches at reasonable prices. We also have a wide selection of brownies, chips, drinks and other snacks so you don't leave hungry or broke. Come see us today for the food and experience you've been missing out on! Our restaurants are located across the country in high traffic areas like college campuses, malls and airports where there is always a party going on. You can also order online or through our mobile app so you never miss an opportunity to eat with your friends again!
Corporate Structure
Cheba Hut Franchising, Inc. is an Arizona corporation incorporated on March 2, 2001. Their principal business address is 1305 Duff Drive, #7, Fort Collins, Colorado 80524. They have offered franchises for Cheba Hut Businesses since April 2002.
Royalties and Marketing Fees

Royalties : 6.0% - 5.0% of revenue

Earnings Transparency

7 /10
This Franchise discloses slightly more information about the financial performance of their franchisees compared to other franchises in the same industry

Why do some franchises disclose more than others?
There are many reasons why a brand may choose to not include item 19 on their FDD: they could be a newer franchise, they may be in a unique industry that is not super profitable or well-known yet

Financial Performance of "Standard" Units

Average Revenue Per Unit

Compared vs. QSR Industry

$1,460,460 / unit

Franchise Type: Standard

Average Revenue During 2020

$1,460,460
$173,917
Industry Low
$2,256,060
Industry High
Show All Years +

Franchise Types Available

# Type Investment Fees

Employee Contact Database

# Name Position Phone Number Email Address

Distribution of Cheba Hut Franchisees

Cheba Hut Franchise System Development in 2022

FAQ

How much investment do I need to start my own Cheba Hut business?
Franchisees typically require at least $591 to $1 investment to get their Cheba Hut business started
What are the initial franchise fees for Cheba Hut?
Franchisees typically need to pay at least $51 in fees directly to Cheba Hut in order to earn the right to launch their business
How much money can I make with a Cheba Hut franchise? What are the average revenues for a typical Cheba Hut business?
We estimate that the average revenue of an individual Cheba Hut unit is approximately $1,460,460. We based this on Item 19 in franchise disclosure document
How long do I need to commit to running a Cheba Hut unit? What is my contractual commitment?
Cheba Hut franchisees are typically required to sign up to a 10 year contract initially. The renewal length is 10 years. You can of course exit early but don’t expect to get any refund!

Accessibility

3 /10
The Franchisor's investment costs ranges from $591,400 to $1,294,800 which is Much Higher than the $0 to $0 average in the QSR industry
What determines the investment cost?
Item 7 of the Franchise Disclosure Document lays out the full list of initial investment costs, including the fee payable to the franchisor, security deposits, equipment, professional fees etc

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