Johnny Rockets Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$50,000
Investment required
$507,000 - $1,686,000
Royalty fee
6.00%

Johnny Rockets: Embodying Classic American Diner Culture Worldwide

Johnny Rockets is a renowned American franchise celebrated for its nostalgic diner experience, offering burgers, shakes, fries, and a mid-20th-century ambiance. Established in 1986 on Melrose Avenue in Los Angeles, California, Johnny Rockets quickly gained fame for its dedication to providing a genuine American dining experience.

The name "Johnny Rockets" blends a sense of Americana with "Johnny" inspired by the legendary Johnny Appleseed and "Rocket" after the iconic Oldsmobile Rocket 88, embodying the brand's retro charm and appeal. Since beginning its franchise operations in 1987, Johnny Rockets has distinguished itself with its vintage-inspired diners that offer a unique setting for enjoying traditional American cuisine.

Key menu offerings include made-to-order Certified Angus Beef® burgers, hand-spun real ice cream milkshakes and malts, and crispy golden fries and onion rings, all served in an energetic atmosphere complete with vintage jukebox tunes. More than just a dining spot, Johnny Rockets provides a destination where each visit allows guests to savor simple pleasures and create lasting memories. The franchise has experienced substantial growth, expanding both nationally and internationally.

Johnny Rockets locations are diverse, found in shopping malls, standalone buildings, and even aboard several Royal Caribbean International cruise ships, sharing the classic American diner experience with a worldwide audience. This expansion showcases the brand's lasting appeal and its capacity to thrive in various markets.

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
Initial Fee $50,000
Leasehold Improvements; Construction Costs $150,000 - $600,000
Equipment, Decor & Furnishings $160,000 - $600,000
Signage $10,000 - $100,000
Point of Sale Systems (POS) and related technology $14,638 - $20,988
Restaurant Small Wares $10,800 - $25,000
Initial Inventory $7,200 - $10,400
Security Deposits (Utilities, Insurance, etc.) $9,000 - $32,500
Insurance and Bonds $8,000 - $12,000
Rent $3,500 - $20,000
Miscellaneous (legal, accounting, licenses, permits) $14,000 - $25,000
Liquor Licenses and Fees $5,000 - $75,000
Grand Opening & Marketing Materials $7,500 - $10,000
Training $32,500 - $65,000
Additional Funds - three months $25,000 - $40,000
Total $507,138 - $1,685,888

Get

more

information

about

Johnny Rockets

Interested in becoming a franchisee? Get matched with a franchise consultant to discuss your options. For free
Get a free consultation

Number of units

2023
Franchised units

142

127

119

Company-owned units

11

8

8

Total units

153

135

127

Franchise Disclosure Document

Training 

The franchisor offers a thorough training program for both the franchisee and their employees, outlined as follows:

Initial Training Program: Prior to the restaurant's launch, the franchisee's designated manager and four additional team members, identified as assistant managers or shift leaders, must attend and complete the initial training program at the franchisor's certified training center. This program certifies them as managers, a prerequisite for the franchisee to receive approval for store openings. The training includes executive training for one or more owners of the franchisee if approved by the franchisor. While the franchisor provides instructors and most training materials, the franchisee or their employees are responsible for expenses such as transportation, lodging, meals, and wages. Additionally, statutory worker's compensation insurance must be secured before commencing the initial training program.

Ongoing Training: The franchisor may also mandate additional training for any new managerial personnel employed by the franchisee. This includes attending the initial training program and potentially other training programs and seminars as required by the franchisor. The franchisee is responsible for reimbursing the franchisor for the costs of such training, up to a specified limit, and covering all other related expenses.

Quarterly Training and Status Meetings: The franchisor may require the franchisee, the Operating Partner, and/or the franchisee's Manager to attend quarterly training and status meetings. These sessions are intended to keep the franchisee informed of new developments and ensure compliance with the franchisor's standards. As with other training sessions, the franchisee or their employees are responsible for the costs associated with attending these meetings.

Territory Protection

The franchisor offers a form of territory protection for franchisees, though it comes with specific terms and limitations. Franchisees are assigned a "Protected Territory," as outlined in an attachment to their Franchise Agreement. The size and extent of this territory can vary based on factors such as population density and the balance between residential and commercial properties.

Typically, the Protected Territory may cover a one-mile radius around the restaurant, though this can differ. Despite this designation, the franchise agreement clarifies that franchisees do not receive an exclusive territory in the broader sense.

Franchisees may encounter competition from other franchisees, franchisor-owned outlets, or other distribution channels or competing brands controlled by the franchisor. The franchisor retains the right to operate and license operations under its brand and other trademarks both within and outside the franchisee's Development Area and Protected Territory.

Similar franchises

Tim Hortons Franchise FDD, Costs & Fees (2024)

Tim Hortons

Investment required
$124,000 - $2,138,000
Mister Softee Franchise FDD, Costs & Fees (2024)

Mister Softee

Investment required
$242,000 - $287,000
Bonchon Franchise FDD, Costs & Fees (2024)

Bonchon

Investment required
$462,000 - $1,159,000
Your Pie Franchise FDD, Costs & Fees (2024)

Your Pie

Investment required
$369,000 - $940,000