TGI Fridays Franchise FDD, Profits & Costs (2025)
TGI Fridays is a well-known American casual dining franchise recognized worldwide for its lively ambiance and creative food offerings. The concept was launched in 1972 in New York City by Alan Stillman, with the vision of creating a social hub where young adults could gather and connect.
Now headquartered in Dallas, Texas, the company started franchising in 1978, which fueled its rapid growth across the U.S. and into international markets.
The menu at TGI Fridays showcases a wide variety of American favorites, including burgers, steaks, chicken, seafood, and pasta. Guests also enjoy a full bar highlighted by the brand’s famous handcrafted cocktails.
What sets TGI Fridays apart is its focus on fun, flavor, and celebration. In May 2025, the chain updated about 85% of its menu, introducing fresh new dishes and reimagined cocktails to reinforce its identity as a trendsetter in the casual dining space.
Initial Investment
How much does it cost to start a TGI Fridays franchise? It costs on average between $2,721,000 – $4,326,000 to start a TGI Fridays franchised restaurant.
This includes expenses for restaurant construction, furnishings, kitchen equipment, initial inventory, and opening operating costs. The total investment can vary based on several factors, such as the restaurant format selected, the specific market location, and whether the property is leased or purchased by the franchisee. TGI Fridays offers 2 types of franchises:
| Prototype | Size | Initial Investment |
|---|---|---|
| P11 Prototype | 6,200 Square Foot TGI Fridays™ Restaurant | $2,721,000 – $4,051,000 |
| “PROTO 2017” Prototype | 6,800 Square Foot TGI Fridays™ Restaurant | $2,872,500 – $4,326,000 |
We are summarizing below the main costs associated with opening a “PROTO 2017” Prototype6,800 Square Foot TGI Fridays™ Restaurant.
For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $50,000 |
| Furniture, Equipment & Décor | $801,500 – $1,000,000 |
| Computer Systems | $73,500 – $91,000 |
| Opening Inventory | $35,000 – $60,000 |
| Hiring Expenses; Training | $65,000 – $200,000 |
| Liquor License | Varies |
| Building & Improvements | $1,500,000 – $2,000,000 |
| Site Improvements | $200,000 – $500,000 |
| Developmental Costs | $65,000 – $100,000 |
| Insurance | $12,500 – $25,000 |
| Miscellaneous Costs | $10,000 – $100,000 |
| Additional Funds (3 months) | $60,000 – $200,000 |
| Total | $2,872,500 – $4,326,000 |
Average Revenue (AUV)
How much revenue can you make with a TGI Fridays franchise? A TGI Fridays franchised location makes on average $2,547,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
Download the Franchise Disclosure Document
Frequently Asked Questions
How many TGI Fridays locations are there?
As of the most recent data, TGI Fridays operates approximately 158 company-owned restaurants in the United States, along with about 134 franchised units across the U.S.
What is the total investment required to open a TGI Fridays franchise?
The total investment required to open a TGI Fridays franchise ranges from $2,721,000 to $4,326,000.
What are the ongoing fees for a TGI Fridays franchise?
Franchisees of TGI Fridays are required to pay a royalty fee of 4% of gross sales. In addition, they must contribute to a marketing and advertising fund equal to about 5% of gross sales, along with a separate national advertising fund fee of approximately 1.5% of gross sales.
What are the financial requirements to become a TGI Fridays franchisee?
To become a TGI Fridays franchisee, the franchise generally requires a minimum net worth of $3 million and at least $1 million in liquid capital.
How much can a TGI Fridays franchise owner expect to earn?
The average gross sales for a TGI Fridays franchise are approximately $2.55 million per location. Assuming a 15% operating profit margin, $2.55 million yearly revenue can result in $383,000 EBITDA annually.
Who owns TGI Fridays?
The TGI Fridays franchise is owned by TriArtisan Capital Advisors, a New York–based private equity firm that acquired the brand in 2014.
Disclaimer
Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.
All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.
