Black Bear Diner Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$55,000
Investment required
$1,505,000 - $2,059,000
Royalty fee
4.50%

Black Bear Diner: Elevating Comfort Food with a Unique Bear-Themed Experience

Established in 1995 in Redding, California, Black Bear Diner has evolved into a prominent name in the diner franchise industry, renowned for its traditional, home-style comfort cuisine and distinctive dining experience. Headquartered in its founding city, the diner started franchising in 1999, bringing its unique dining concept to a wider audience.

Black Bear Diner is celebrated for its all-day breakfast, lunch, and dinner options, generous portions, and high-quality meals, which have garnered a dedicated following of multi-generational families. The diner’s bear-themed branding, which includes outdoor wood carvings, cabin-style interiors, and branded merchandise, creates a unique dining ambiance that sets it apart from other establishments.

The franchise has received consistent industry recognition, including a place on Entrepreneur’s Franchise 500 for five consecutive years, solidifying its position in the family dining sector.

Franchise partners receive extensive support from Black Bear Diner, covering everything from site selection and design to construction, pre-opening, and ongoing operations. This robust support system, coupled with the brand's strong cultural and value propositions, makes Black Bear Diner an appealing choice for entrepreneurs interested in the dining industry.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Franchise Fee $24,000 - $55,000
First Month’s Rent $9,000 - $20,000
Security Deposits $7,500 - $23,000
Leasehold Improvements $666,800 - $800,000
Furniture, Fixtures & Equipment $70,000 - $84,000
Kitchen Equipment $382,935 - $466,240
Décor Package $30,100 - $53,455
Carved Bear Package $33,100 - $48,300
Initial Inventory – Food & Paper $14,000 - $20,000
Initial Inventory – Gift Shop Products $2,000 - $5,000
Insurance $7,000 - $20,000
Signage $33,900 - $54,815
Office Equipment and Supplies $1,800 - $2,200
Computer System $45,000 - $75,000
Grand Opening Advertising $5,500 - $12,000
Training Expenses $44,000 - $85,000
Licenses & Permits $7,000 - $20,000
Professional Fees $20,000 - $65,000
Additional Funds - 3 months $100,000 - $150,000
TOTAL $1,504,505 - $2,059,010

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Number of units

2024
Franchised units

83

84

85

Company-owned units

57

59

61

Total units

140

143

146

Franchise Disclosure Document

Training 

Black Bear Diner offers a robust training program designed to equip franchisees with the essential knowledge and skills to successfully manage their diner.

Mandatory Attendees: Both the franchisee or their Primary Owner and the designated operator of the franchise must complete the initial training and qualify as a Certified Manager before opening the franchise.

Training Curriculum: The initial program delivers hands-on training in operating a Black Bear Diner. It covers maintaining brand standards in areas such as food preparation, marketing, customer service, equipment maintenance, the point-of-sale system, and grand opening procedures.

Location and Duration: Training is conducted at specified Black Bear Diner locations and includes 320 hours of on-the-job training.

Ongoing Education: Black Bear Diner may also require participants to attend additional training sessions, such as refresher courses and seminars, to stay updated with best practices and operational standards.

Territory Protection

Franchisees are not given an exclusive territory but are allocated a "Protected Territory." Typically, this Protected Territory covers a 3-mile radius around the franchised restaurant.

Within this area, Black Bear Diner agrees not to open or grant another franchise for a Black Bear Diner restaurant.

However, Black Bear Diner retains the right to establish and license other businesses, including similar restaurant concepts with different trademarks, service marks, and commercial symbols, both within and outside the Protected Territory.

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