Domino's Pizza Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Domino's is a quick-service pizza chain built around delivery and carryout, powered by its own digital ordering platform. Franchisees run stores handling order fulfillment, delivery, staffing, and food costs.
FranchiseVerdict summary · 2026
A Domino's Pizza franchise requires a total initial investment of $231K – $744K, including a $0 – $10K franchise fee and an ongoing 5.5% royalty[2]. Per the 2026 FDD, average unit revenue was $1.4M[2]. SBA 7(a) loans show a 9.9% charge-off rate across 1,123 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $231K – $744K
- 39th pct Service Resta…
- Avg gross sales
- $1.4M
- 36th pct Service Resta…
- Royalty
- 5.5%
- 40th pct Service Resta…
- Units
- 7,236
- 94th pct Service Resta…
- SBA charge-off
- 9.9%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- Total investment $231K – $744K including a $10K franchise fee, 5.5% ongoing royalty.
- Average unit revenue of $1.4M/year (median $1.3M).
- Verdict A (Strongest tier), verdict score 90/100 (higher is better). SBA loan charge-off rate of 9.9% across 1123 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Domino's Pizza Franchising LLC
- Parent company
- Domino's Pizza Master Issuer LLC
- Ultimate parent
- Domino's Pizza, Inc.
- Predecessor
- Domino's Pizza LLC
- Prior franchisor entity
- CEO title
- Manager and Chief Executive Officer
- Russell Weiner
- Incorporated in
- Delaware
- HQ
- 24 Frank Lloyd Wright Drive, Ann Arbor, Michigan 48105-9484
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $512.1M
- vs $487.1M prior year
Overview
About
- CEO
- Russell Weiner
- Headquarters
- MI
- Founded
- 1960
- FDD year
- 2026
- States available
- 53
Can you afford it, and what does the money buy?
Entry cost runs 23% below the typical quick-service restaurants franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $10K | $10K |
| Working capital (3–6 mo) | $10K | $73K |
| Equipment, build-out, other | $211K | $661K |
| Total initial investment | $231K | $744K |
Source: Domino's Pizza 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $231K – $744K
- Top 40% of category vs category
- Liquid capital req'd
- $10K – $73K
- Top 40% of category vs category
- Franchise fee
- $10K
- Top 40% of category vs category
- Royalty
- 5.5%
- percentage · typical 6–8%
- Ad fund
- 4.0%
- typical 3–5%
- Total fee load
- 9.9%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.5% of gross sales |
| Marketing / ad fund | 4.0% of gross sales |
| Technology fee | $0 |
| Training fee | $1K |
| Transfer fee | $2K |
| Inventory (initial) | $5K – $7K |
| Total fee load | 9.9% of rev |
What do units actually make?
Average unit sales run 25% above the quick-service restaurants norm.
Source: FDD 2026 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$172K
12.5% margin
Unlevered ROIC
33%
EBITDA / total invested capital
Payback
3.1 yrs
cash-on-cash, unlevered
Financial Performance
- Avg gross sales
- $1.4M
- Per unit, per year
- Median gross sales
- $1.3M
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- AWUS and EBITDA % of Royalty Sales by AWUS band
- Sample size
- 6262 units
- vs category median 28 · large
- Reporting year
- 2026
- Fiscal year the figures cover
- Transparency
- 7 / 10
- vs category median 3 / 10 · above
Compared against 485 Quick-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $1.4M/year in gross sales. Revenue-to-investment ratio: 2.8x.
Fee burden
Total ongoing fee load of 9.9% — above the Quick-Service Restaurants average of 8.1%.
Disclosure
Transparency score 7/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 8.0% CAGR over 3 years across 7,236 units — operators are staying and new ones are joining.
Multi-unit rate
Only 6% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants averages
How Domino's Pizza Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 7,236
- Opened
- 215
- Last reporting year
- Closed
- 4
- Terminated
- 9
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 2
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.2%
- Company-owned
- 262
- Corporate units in the system
- % franchised
- 96%
- vs corporate-owned
- Multi-unit owners
- 5.9%
- Net growth (3-yr)
- +8.0%
- Net unit change over 3 years
- 3-yr CAGR
- +8.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 215
- Closed (3yr)
- 4
- Terminated (3yr)
- 9
- Non-renewed (3yr)
- 2
- Transfers (3yr)
- 491
- Reacquired (3yr)
- 2
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 51 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 1,123
- Loan volume
- $409.5M
- Median loan
- $147K
- 50th percentile
- Charge-off rate
- 9.9%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 89.3%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 200
- Defaults
- 82
- Typical loan rate
- 6.0%
- avg rate to borrowers
- Franchised industry avg
- 21.5%
- brand beats franchise avg ↓
- Jobs supported
- 15,594
- 8.8 per loan
- Lender concentration
- 8%
- top lender's share
Borrower mix: 67% went to startups / new businesses, 33% to established operators
Franchise vs independent — in limited-service restaurants, franchised businesses charge off at 21.5% vs 25.0% for independents — franchising is associated with 14% lower SBA default risk in this category.
Vintage analysis
Domino's Pizza charge-off rate by loan vintage
Shaded area: recent vintages with few resolved loans; rates may change as loans mature.
Top lenders financing Domino's Pizza franchisees
Showing 3 of 200 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Domino's Pizza's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 27-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
What could kill this investment?
SBA loans charge off at 9.9% — 38% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Established brand with protected territory but facing stagnant growth, thin margins, and mounting litigation that could impact franchisee economics and operational burden.
Litigation (Item 3)
Pending: (1) State of Rhode Island Office of General Treasurer securities class action (Case No. 2:24-CV-12477) alleging false/misleading statements about global net store growth guidance; (2-6) Five derivative lawsuits (Ayers, Joshi, Kassner, Chu, Walker Derivative Lawsuits) alleging breaches of fiduciary duty and insider trading by directors/officers, stayed pending outcome of securities action; (7) several undisclosed labor and employment joint employer lawsuits. No concluded actions required disclosure.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 90 / 100 verdict
- 01MINORSlow unit growth of only 2.9% YoY suggests market saturation or franchisee underperformance
- 02HIGHSignificant litigation including securities class action, derivative lawsuits, and joint employer claims creates legal/operational uncertainty
- 03MINORNet income margin of only 1.08% (14.7K on 1.37M revenue) indicates razor-thin profitability after royalties
- 04MINORHigh capital requirement ($107K-$743K) paired with low average net income creates extended ROI timeline
- 05HIGHJoint employer litigation could increase labor compliance costs and corporate liability exposure for franchisees
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.9% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | protected |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory radius | 1 mi |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 17 |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | No |
| Jury trial waiver | No |
| Governing law | Store state |
| Litigation count | 7 |
View Item 3 litigation summary
Pending: (1) State of Rhode Island Office of General Treasurer securities class action (Case No. 2:24-CV-12477) alleging false/misleading statements about global net store growth guidance; (2-6) Five derivative lawsuits (Ayers, Joshi, Kassner, Chu, Walker Derivative Lawsuits) alleging breaches of fiduciary duty and insider trading by directors/officers, stayed pending outcome of securities action; (7) several undisclosed labor and employment joint employer lawsuits. No concluded actions required disclosure.
Items 10, 11
Training & Operations
- Classroom training
- 160 hrs
- On-the-job training
- 3 hrs
- Training location
- Ann Arbor, Michigan or online (classroom); candidate's market (OJT and some modules)
- Ongoing training
- Required
- Time to open
- 3 mo
- From signing to launch
- Site selection
- Franchisee (primary responsibility); franchisor must approve location
- Franchisor financing
- Not offered
- Item 10
- POS system
- Domino's PULSE
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Domino's PULSE
Item 20 · call current owners
Franchisee Contacts
7,055 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Domino's Pizza · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Domino's Pizza franchise?
The total investment to open a Domino's Pizza franchise ranges from $231K – $744K, with an initial franchise fee of $10K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Domino's Pizza franchise owners earn?
According to Item 19 of the Domino's Pizza FDD, the average gross sales per unit is $1.4M. The median is $1.3M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Domino's Pizza's franchise failure rate?
Based on SBA 7(a) loan data, Domino's Pizza has a charge-off rate of 9.9% across 1,123 loans, meaning 9.9% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Domino's Pizza franchise locations are there?
As of their most recent FDD filing, Domino's Pizza has 7,236 total units in the United States, including 6,974 franchised units and 262 company-owned units. 215 new units were opened in the latest reporting year.
Is Domino's Pizza a good franchise to buy?
FranchiseVerdict rates Domino's Pizza as a A-grade franchise with a verdict score of 90 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
If you represent Domino's Pizza, you can request corrections or provide updated information.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.