Barrel House Franchise FDD, Profits & Costs (2025)
Barrel House is a contemporary bar and grill franchise that first launched in 2011, created by entrepreneur Jimmy Holt in Davenport, Iowa. Built around the motto “Food That Lifts Your Spirits,” the concept blends elevated comfort food with a warm, welcoming atmosphere.
Following nearly ten years of perfecting its model, the brand entered franchising in 2021, with its first location opening in Bloomington, Illinois. Today, the company remains based in Davenport and is known for a broad menu featuring gourmet burgers, sandwiches, wraps, pizzas, and freshly prepared salads.
To complement its food, Barrel House highlights rotating selections of local craft beer and unique seasonal cocktails, offering guests a fun yet approachable dining experience. By pairing familiar favorites with creative twists, the brand attracts a wide customer base.
A defining feature of Barrel House is its We Care™ culture, which sets it apart from competitors. This approach focuses on exceptional hospitality and meaningful community engagement, ensuring that both guests and local neighborhoods feel valued.
Initial Investment
How much does it cost to start a Barrel House franchise? It costs on average between $540,000 – $1,215,000 to start a Barrel House franchised restaurant.
This investment covers expenses such as construction, kitchen equipment, furnishings, inventory, and early operating costs. The total amount can vary based on several factors, including the size and format of the Barrel House restaurant, the chosen market location, and whether the franchisee decides to lease or buy the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $40,000 |
| Rent (3 months) and Security Deposit | $10,000 – $25,000 |
| Utility & Deposits | $5,000 – $10,000 |
| Licenses & Permits | $5,000 – $35,000 |
| Design & Architectural Fees | $15,000 – $28,000 |
| Leasehold Improvements | $150,000 – $500,000 |
| Signage | $10,000 – $35,000 |
| Furniture & Fixtures | $50,000 – $100,000 |
| POS/Back Office System | $5,000 – $10,000 |
| Equipment | $150,000 – $260,000 |
| Professional Fees | $5,000 – $15,000 |
| Initial Inventory | $20,000 – $40,000 |
| Insurance (Quarterly) | $3,500 – $7,000 |
| Training Expenses | $5,000 – $20,000 |
| Grand Opening Advertising | $6,500 – $15,000 |
| Additional Funds – 3 Months | $60,000 – $75,000 |
| TOTAL | $540,000 – $1,215,000 |
Average Revenue (AUV)
How much revenue can you make with a Barrel House franchise? A Barrel House franchised restaurant makes on average $1,534,000 in revenue (AUV) per year.
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Frequently Asked Questions
How many Barrel House locations are there?
As of the latest data, Barrel House operates six company-owned locations and one franchised location in the United States.
What is the total investment required to open a Barrel House franchise?
The total investment required to open a Barrel House franchise ranges from $540,000 to $1,215,000.
What are the ongoing fees for a Barrel House franchise?
A Barrel House franchisee pays a 5% royalty fee on gross sales, a $100 monthly technology fee, at least 1% of gross sales for local marketing, and up to 3% of gross sales for the system marketing fund.
What are the financial requirements to become a Barrel House franchisee?
To qualify for a Barrel House franchise, you must have at least $100,000 in liquid capital, maintain a good credit profile, and be able to fund the full initial investment—typically between $540,000 and $1.2 million.
How much can a Barrel House franchise owner expect to earn?
The average gross sales for a Barrel House franchise are approximately $1.53 million per location. Assuming a 15% operating profit margin, $1.53 million yearly revenue can result in $230,000 EBITDA annually.
Who owns Barrel House?
The Barrel House franchise is owned by entrepreneur Jimmy Holt, who founded the brand in 2011 in Davenport, Iowa, and continues to lead its expansion through franchising.
Disclaimer
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