Quick Verdict · who it fits
Red Dot Restaurant Group fits first-time franchise buyers looking for an emerging food & beverage concept.
The numbers a buyer needs first — straight from the filing.
Franchise fee (Item 5)
$40K
Royalty (Item 6)
6% + 1–3% ad
System size (Item 20)
4 +1
Agreement term
10 yrs
Years in business
6+ yrs
Item 3 litigation
None disclosed
Model Red Dot Restaurant Group's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.
Buyer qualifications
✓No Item 3 litigation
Data extracted from the 2026 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.
Drag to your projected annual sales. Royalty 6% + ad fund 1–3% on gross sales.
PROJECTED ANNUAL SALES$500,000
$100k$2M
Royalty (6%)
—
Ad fund (1–3%)
—
Total / year
—
▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration
Closest concepts by category and investment.
| Brand | Item 19 | Fee | Investment | Royalty | Units |
|---|---|---|---|---|---|
| Red Dot Restaurant Group | None | $40K | — | 6% | 4 |
| Avotoasty Franchising Llc - Org-534375Similar price | None | — | — | — | — |
| Doctor's AssociatesBiggest system | None | $15K | $227K - $630K | 8% | 18,773 |
| Vintage Hospitality GroupTop-rated in category | Disclosed | $50K | $3.5M - $6.4M | 5.5% | 33 |
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Red Dot Restaurant Group requires a $40,000 initial franchise fee, per the most recent FDD on file.
Red Dot Restaurant Group franchises are sold by Red Dot Restaurant Group, Inc., the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the corporate structure, including any parent companies and predecessors.
No. Red Dot Restaurant Group does not include a financial performance representation in its FDD. Prospective buyers should rely on validation calls with existing franchisees and benchmark against industry medians.
Franchisees pay a royalty of 6% of Gross Revenues and an advertising fund contribution of Up to 3% of Gross Revenues; Currently 1% of Gross Revenues on gross sales as defined in Item 6 of the FDD.
As of their 2026 FDD, Red Dot Restaurant Group has 4 total locations, with 1 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.
Per the FDD, Red Dot Restaurant Group discloses an initial agreement term of 10 years. Review Items 10 and 17 for the full renewal and termination provisions.
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