HomeSports & EntertainmentDave & Buster's Franchise Opportunity : Cost, Revenue, & Profit

Dave & Buster’s Franchise Opportunity : Cost, Revenue, & Profit

Are you considering the opportunity to partner with a reputable franchise in the entertainment and dining industry? Have you envisioned owning a thriving establishment that combines exciting entertainment and delicious food, providing customers with a truly unique and enjoyable experience?

Look no further! In this informative piece, we’ll delve into the exciting world of Dave & Buster’s that has created a quite a wave into the entertainment and dining space.

In this all-inclusive piece, we will further explore about the Dave & Buster’s Franchise, including its cost, fees, profits, and address some frequently asked questions about the chain.

Dave & Buster's Franchise Opportunity
  • Brand: Dave and Buster’s
  • Founded: 1982
  • Key PeopleDavid and James
  • Industry: Entertainment/Restaurant
  • No. of Franchise: 150+
  • Area served: Worldwide
  • Franchise Fee: ~$50,000
  • Royalty Fee: ~5-8%
  • Ad Royalty Fee: ~2-3%
  • Model: Franchise, only international
  • Est. Initial Investment: $6 Million to $8 Million

Overview of Dave & Buster’s Franchise

Overview of Dave and Buster's Franchise

Established in 1982 by David O. Corriveau & James W. “Buster” Corley, Dave & Buster’s is a popular and leading American entertainment and dining company that combines a restaurant, sports bar, and arcade gaming experience under one roof.

This chain has gained widespread recognition for its exceptional selection of mouthwatering food and beverages.

With a diverse menu featuring a variety of appetizers, entrees, burgers, and signature cocktails, Dave and Buster’s has positioned themselves as a beloved destination for families, friends, and individuals seeking an unforgettable and enjoyable entertainment experience.

The chain takes immense pride to ensure a top-tier experience by offering state-of-the-art arcade games, interactive virtual reality experiences, and live sports viewing. These cutting-edge attractions come together to establish an immersive entertainment environment that caters to customers of all ages.

Spanning across expansive venues that encompass an impressive 20,000 square feet, the company guarantees ample space for visitors to fully indulge in these captivating experiences.

At present, the chain has established a strong and widespread presence throughout the United States and Canada. However, the company is not content with its current success and is actively seeking ambitious entrepreneurs who are eager to join their ranks and help expand their footprint into international markets.

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The Journey of Dave & Buster’s

The story of Dave & Buster’s began humbly with the opening of its first outlet in 1982, courtesy of founders David Corriveau and James “Buster” Corley.

In 1989, the restaurant caught the attention of Edison Brother Stores, which acquired a majority ownership stake in order to facilitate expansion into other cities. However, the chain eventually spun off and Andy Newman took the helm as Chairman when the company went public.

By 1997, Dave & Buster’s had expanded to ten locations across the country. In 2008, Dave & Buster’s Holdings Inc. filed with the SEC to become a publicly traded company, with plans to launch an initial public offering (IPO) in 2012. However, for reasons unknown, the IPO had to be postponed.

In 2014, the chain came back stronger and successfully launched its second IPO. During this offering, 5.88 million shares were sold at an offering price range of $16-18. The funds raised from the IPO were primarily utilized to repay debt, further solidifying the company’s financial position.

Key Facts on Dave & Buster’s

Sr No.TypePublich
1Trade NameDave & Buster’s
2IndustryEntertainment/Restaurant (Eatertainment)
4FoundersDavid O. Corriveau &
James W. “Buster” Corley
5HeadquartersDallas, Texas, U.S.
6Number of locationsOver 150+
7Area servedWorldwide
8Franchise modelFranchise
9Servicesrestaurant, sports bar,
and arcade gaming experience
10Revenue or Sales$563.8 million in FY22

Why Consider Owning a Dave & Buster’s Franchise?

Owning a Dave Busters Franchise

Dave & Buster’s brings in immense advantage for its franchise aspirants, and some of them are listed down;

  1. Established brand name and proven track record:
    • Dave & Buster’s has over 3 decade of experience in the Entertainment/Restaurant industry, and has certainly positioned itself as leader in the sector.
      • The proven track record of success has garnered a loyal customer base and immense investor support for its business.
  2. Quite a unique concept:
    • Dave & Buster’s sets itself apart from traditional entertainment venues by offering a comprehensive and exhilarating experience to its customers.
      • This unique approach has enabled the chain to build a larger audience and establish a consistent revenue stream for its business.
  3. Diverse Revenue Streams:
    • As an approved Dave & Buster’s outlet owner, you benefit from multiple revenue streams. Customers can enjoy food and beverages, play arcade games, participate in virtual reality experiences, and watch live sports events, providing various opportunities for generating income.
  4. Comprehensive Support:
    • Dave & Buster’s provides comprehensive support to its franchisees, which includes assistance with site selection, store design, training programs, marketing campaigns, and ongoing operational guidance.
      • Franchisees can leverage the expertise and resources of the company to set up and operate their locations successfully.
  5. Growth Opportunities:
    • Currently, Dave & Buster’s has robust presence in domestic as well as international market. Certainly, this space is growing at rapid pace and you may have opportunity to capitalize on company’s growth.

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How much does Dave & Buster’s Franchise Cost?

Dave & Buster's Franchise Cost

The initial cost of setting up a Dave and Buster’s location may vary depending on the outlet’s geographical location, available space for entertainment setup, and more.

Nevertheless, To start a Dave & Buster’s Franchise(for an international location), one may at least require an initial investment of minimum of US $6 Million to US $8 million. This initial investment of Dave & Buster’s does cover the franchise fee, marketing fee, and other necessary expenses.

How much is the Dave & Buster’s Franchise Fee?

The franchise fee for Dave & Buster’s may range between $50,000 – $60,000. Furthermore, though the Dave and Buster’s hasn’t mentioned any detail on its required net worth and liquidity, one may need to have a minimum net worth of $10 Million with a available liquidity of $5 Million.

Additional Cost for Dave & Buster’s

Typically, To run and operate a Dave & Buster’s location, one must adhere to their standards and are liable to pay a few additional costs such as Royalty fee, advertisement fee, maintenance fee, and a few other investments.

The franchise may charge an on-going royalty fee of 5-8% and ad royalty fee is 2-3%, which will be calculated based on the monthly gross sales.

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How much is Dave & Buster’s Franchise Profit Margin?

Is Dave and Busters profitable

Though the chain hasn’t disclosed the specific information about the profit margin for its franchised location. However, based on its financial statement, we can at least understand more about the company’s working and business status.

Dave & Buster’s has shown positive returns with significant year-to-year growth, especially when excluding the impact of the COVID-19 period.

Considering the unique concept of Dave & Buster’s, its consistent growth model, strong support system, diversified revenue streams, and global presence, it is reasonable to anticipate a healthy net profit margin of 5-10% for new franchisees.

In addition to that, we at FranchiseGoal advise new entrants to conduct thorough research, understand the franchise disclosure document (FDD), and learn more about the company’s future growth plans. If possible, it is recommended to check with the official representative to gain more insight into the expected profit margin for the proposed location.

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Financial summary of Dave & Buster’s – Fiscal Year 2022

  1. The Year 2022 has been really exciting for Dave and Busters franchise, where the chain had posted an impressive revenue of $563.8 million, registering a remarkable growth of 64.3% compared to the fourth quarter of 2021 and a significant increase of 62.4% compared to the fourth quarter of 2019.
  2. Pro forma combined comparable store sales, including Main Event branded stores, increased by 19.0% compared to the same period in 2021 and 14.1% compared to the same period in 2019.
  3. Their Net income has also shown a positive growth from $25.7 million in the fourth quarter of 2021 to $39.1 million for the same quarter in 2022.
  4. Its Adjusted EBITDA (excluding pre-opening expenses) for the quarter was $138.4 million, showcasing a jump of 62.9% from the fourth quarter of 2021 and an 85.1% increase from the fourth quarter of 2019.
  5. The company opened a new Main Event store in Beaumont, TX.

Overall, Dave and Buster’s ended the quarter with a significant revenue growth and increased net income, indicates a positive outlook for profitability.

It is worthy to mention that by end of fourth quarter of 2022, the company had a strong liquidity position of $672.7 million, including $181.6 million in cash and $491.1 million available under its $500 million revolving credit facility.

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What are the requirements to Start a Dave & Busters Franchise?

  1. Prospective investors should have strong financial qualifications and be prepared to invest a minimum of US $6 million to US $8 million to effectively manage and operate Dave and Busters operations.
  2. Interested franchisees should have a passion to work in the Eatertainment industry and should possess an entrepreneurial spirit to grow the Dave and Busters business with complete ownership.
  3. Interested prospects are expected to have a strong background in hospitality and management, along with proficient skills in supply chain management.
  4. One should meet the below requirement for a Dave and Buster’s site;
    • Looking for freestanding or inline with the following specifications: 
      • 26,500 square feet (+/- 1,000 square feet) OR 40,000 square feet (+/- 1,000 square feet)
      • Midway Seating: 50
      • Special Events Seating: 200 
      • +/- 175′ x 200′ Footprint 
      • 300 to 400 Parking Spaces (can be shared) 
      • Two-Level Storefront Height/Facade
      • Clear Height = +/- 16’0″
    • The specified location should have the 700,000 to 1,000,000 daytime population (within 10 miles).
  5. The Dave and Buster’s is currently not seeking franchise applications for the USA and Canada, which eventually means that one can only apply for its franchise for only international location.

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How does Dave and Buster’s offer support to its franchisee?

  1. Site selection and layout planning
  2. Marketing support including social media and other awareness avenues
  3. Extensive training program
  4. Financial management and payroll support
  5. On-going support

How to Get Dave and Buster’s Franchise?

Owning a Dave and Buster’s Franchise requires a relatively higher investment and in return may offers an impressive profit. Nevertheless, Dave and Buster’s chain may offer several benefits, and interested candidates can take up franchise outlet locally through their endless support systems.

One can avail this franchise using below mentioned steps;

  1. Visit its official website and submit the required info at given form.
    • You may need to fill in the details like Name, Email ID, Phone Number, experience in the sector and more.

Or, you can also contact them at

Final Takeaway – Conclusion

Dave and Buster’s is a renowned and most popular entertainment-cum-food zone that offers a unique and exciting opportunity for aspiring entrepreneurs in the entertainment and dining industry.

Currently, the chain has over 150+ location across the United States and Canada. At present, the company is seeking franchise applications for its international locations.

To become an authorized Dave and Buster’s outlet owner, one should buckle up to make an investment of at least $6 million – $8 million with a floor area of minimum of 26000 square feet.

The Bottom line – Overall, owning a Dave & Buster’s franchise can be a rewarding venture for those looking to combine fun, dining, and entertainment under one roof and with its innovative concept and widespread popularity, it can certainly help the new franchisee to generate a positive margin.

Source: Financial report

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  1. How much does it cost to start a Dave and Buster’s Franchise?

    Ans: To become an authorized Dave and Buster’s outlet owner, one should be ready to invest at least $6 million – $8 million with a floor area of minimum of 26000 square feet.

  2. Is Dave and Busters Profitable?

    Ans: Except the CoVID period, The Dave and Busters has showcased a strong financial numbers. According to the latest financial report, The chain had a strong liquidity of $672.7 Million and its net revenue, adjusted EBITDA, net income has shown a jump of nearly 50% Y-o-Y.

    Hence, overall, the chain is profitable and it is generating healthy cash flow from its business.

  3. Is Dave and Busters going out of business?

    Ans: Absolutely! No. Dave & Buster’s franchise has demonstrated remarkable resilience and potential in its business, successfully navigating through the challenges posed by the COVID-19 pandemic.
    While the first quarter of 2023 may have shown a slight decline in figures, the overall trajectory of the chain indicates positive growth and a promising future.

  4. What are the franchise like Dave and Busters?

    Ans: if you are looking for the best alternative of Dave and Buster’s business then you may considering checking TopGolf and Sky zone trampoline park.

FranchiseGoal Admin
FranchiseGoal Admin
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