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QSR 7,043 Units

Domino's Pizza Franchise Cost Breakdown

Complete investment analysis based on official FDD data

Total Investment

$119,950 – $461,700

Franchise Fee

$10,000

Royalty Rate

5.5%

Initial Investment Range

Low: $119,950 High: $461,700

The total initial investment to open a Domino's Pizza franchise ranges from $119,950 to $461,700, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $10,000.

Midpoint estimate: $290,825

Franchise Fee

$10,000

One-time initial fee

The Domino's Pizza franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Domino's Pizza brand and is included in the total initial investment range above.

Ongoing Fees

Royalty Fee

5.5%

of gross revenue

Ad/Marketing Fund

1.0%

of gross revenue

Total Ongoing Fee Burden: 6.5% of gross revenue

Combined royalty and advertising fund contributions before any other fees.

Other Ongoing Fees

Fee Type Rate Type Notes
Royalty Fee 5.5 PCT Royalty Sales are the total receipts from all sales of pizza, beverages and other products or services authorized for sale at the Store or at any approved off-site location. Paid via electronic funds transfer by Thursday of each week on royalty sales for the week ending on the preceding Sunday.
Advertising Fund 4.0 PCT Non-Traditional Stores may receive a partial credit or make a reduced contribution. Paid same as Royalty Fee (Thursday of each week). See Item 11 for information concerning advertising and promotion.
Reservation Fee 25000.0 FIXED Under Development Agreement. Due if: (i) no executed lease copy provided 90 days after Required Open By Date; or (ii) approved construction not begun within 180 days of Required Open By Date; or (iii) required new Stores not opened. Payment due within 30 days of written notice. Non-refundable.

What You Get

Category

QSR

System Size

7,043 units

Franchise Score

88

out of 100

Domino's Pizza operates a delivery-focused pizza restaurant chain with technology-enabled ordering and logistics systems. The brand has revolutionized pizza delivery through digital innovation, real-time tracking, and a vast delivery network.

Financial Performance (Item 19)

Median Revenue

$1,164,852

per year, per location

Profitability Estimate

Estimated Owner Profit

$157,255

per year

Profit Margin

13.5%

of revenue

Estimation method: benchmark

Estimated ROI (Simple Payback): 1.8 years

Based on midpoint investment of $290,825 and estimated annual owner profit of $157,255.

Unit Growth & Failure Rate

Avg. Annual Closure Rate

0.1%

Low risk — below industry average

Net Unit Growth

-6222 units

From 2022 to 2025

Unit Activity History

Year Start Opened Closed Transfers End
2022 6222 +253 -5 6438
2023 6438 +178 -8 6600
2024 6600 +160 -2 6751
2025 20 +190

Is a Domino's Pizza Franchise Worth It?

Based on the FDD data, here is a data-driven snapshot of the Domino's Pizza franchise opportunity:

Overall Score

88/100

Strong opportunity

Est. Payback Period

1.8 yrs

Fast payback

Risk Level

Low

0.1% annual closure rate

Domino's Pizza scores well across our evaluation criteria, indicating a strong franchise system. With median unit revenue of $1,164,852 and a combined fee burden of 6.5% of gross revenue, prospective franchisees should model their own financial projections carefully. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.

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