Cheba Hut
Franchise research report · reviewed 2026 disclosure data
Researching Cheba Hut franchise opportunities? Every figure below is cited to the FDD.
Cheba Hut franchise specializes in toasted submarine sandwiches with a distinctive counterculture theme and menu naming conventions that set it apart in the com
Headline figures
Cheba Hut quick facts
- Is Cheba Hut a franchise?
- Yes. Cheba Hut offers franchises through a Franchise Disclosure Document. At the end of 2025, it reported 80 franchised and 3 company-owned outlets (2026 FDD, Item 20, PDF p. 57).
- How much does it cost to open a Cheba Hut franchise?
- The Cheba Hut Franchise Disclosure Document reports separate estimated initial investments by format: $631,150–$2,086,100 for total estimated initial investment — single-store low estimate (2026 FDD, Item 7, PDF p. 22); $2,086,100 for total estimated initial investment — high (2025 FDD, Item 7, PDF p. 20). These formats are not combined. Each is the franchisor's disclosed estimate, not a quote. Details
- What is the Cheba Hut initial franchise fee?
- The disclosed initial franchise fee for a standard single unit is $50,000 (2025 FDD, Item 5, PDF p. 11). Other fee options (for example multi-unit or conversion) are listed separately in the report. Details
- What ongoing fees does Cheba Hut charge?
- The disclosed ongoing royalty is 5% (2026 FDD, Item 6, PDF p. 13). The brand or advertising fund contribution is 4.2% (2026 FDD, Item 6, PDF p. 14). Other recurring fees are listed in Item 6. Details
- Does Cheba Hut disclose financial performance (Item 19)?
- Yes. The Cheba Hut FDD includes an Item 19 financial performance representation (2026 FDD, Item 19, PDF p. 53). Figures apply only to the locations and period each one covers. Details
- How many Cheba Hut locations are there?
- The FDD reports 83 outlets at the end of 2025 (2026 FDD, Item 20, PDF p. 57). Existing locations do not indicate territory availability. Details
- Is Cheba Hut a good franchise to buy?
- Franopolis does not rate or recommend franchises. From the reviewed FDD: Item 19 includes financial performance figures; check which locations and period they cover; Item 20 lists outlet openings, closures and transfers; Item 6 includes a brand or advertising fund contribution on top of royalty; Item 20 also lists current and former franchisees you can contact. Review the full FDD with a franchise attorney and accountant before deciding.
From reviewed FDD figures only. Not a recommendation or projection.
What the disclosures show
- 1Opening costs are estimated at $631,150 – $2,086,100 in the 2026 FDD (Item 7); several initial fee options apply.
- 2Item 19 covers 9 separate groups: other measures for 75 73franchise2affiliate locations; other measures for 73 Franchised locations; other measures for 2 Affiliate locations; revenue and other measures for Franchised and affiliate locations; revenue and other measures for Franchised and affiliate locations; revenue and other measures for Franchised and affiliate locations; other measures for Franchised and affiliate locations; other measures for 19 Franchised; ranked among75including2affiliates neitherquartile locations; other measures for 19 Franchised; ranked among75including2affiliates neitherquartile locations. They are not combined.
- 3Outlets grew by 8 in 2025, to 83 (United States, as labeled in the FDD, Item 20).
From reviewed FDD figures only. Not a recommendation or projection.
Cheba Hut head-to-head
Closest peers in the same subcategory, side by side from reviewed FDD figures. Not a ranking or recommendation.
Costs · Items 5–7
What does it cost to open?
Estimated opening costs and the fees payable to the franchisor.
Startup Investment — Item 7
Total estimated initial investment
2026 FDD · Item 7 · PDF p. 22
Standard single-unit franchise fee
2026 FDD · Item 5 · PDF p. 11
Discounted and multi-unit options are separate; see all fees.
Ongoing Fees — Item 6
Selected recurring charges; payment bases and conditions remain attached to each fee.
- Royalty: 5% of prior-week Net Sales, due each WednesdayMain ongoing fee
62 reported fees, each with its payment basis, are listed below; they haven't been sorted into recurring, initial and occasional groups yet.
Financial Performance — Item 19
What results are disclosed—and for which locations?
9 separate populations, shown apart. Revenue is not owner income.
75 locations
Other measures · 75 locations
- Who is counted
- Full reporting
- Period
- At/abovemean percent
- Excluded
- 8new2025outlets:7franchise1affiliate; reporting75full-year
- Method
- Net sales=gross less comps,discounts,refunds,tips,tax; costs/expenses not deducted. Affiliate paysroyalty,brandfund,technology but notlocaladvertising.
These groups are never combined.
Outlet Changes — Item 20
How has the outlet count changed?
United States, as labeled in the FDD · counts as of 2025 of each year.
2026 FDD · Item 20 · PDF p. 57
Net +32 outlets, 2022–2025
Year-end counts reported in Item 20. The scale starts at zero; the labels between the dots show each year's change. Openings and closures for 2025 haven't been pulled from the Item 20 tables yet, so no turnover or churn is shown.
Questions to investigate
Prompts based on what this brand's reviewed disclosures do and don't show — not conclusions. Join free as a member to save questions to your research.
For the franchisor
Which line items in the 2026 Item 7 estimate ($631,150 – $2,086,100) vary most by market, and why?
Which initial fee option would apply to my situation, and what conditions or discounts affect it?
Which locations are included in the Item 19 figures, and which were excluded?
Reported units went from 75 to 83 in 2025. How many new units opened, closed or changed hands?
Is a territory available in my area, and how is it defined in my agreement?
For current and former owners
How did your actual startup costs and timeline compare with the Item 7 estimate?
How many hours a week do you work in the business, and in what role?
How do your results compare with the Item 19 figures, and what explains the difference?
What support from the franchisor has been most and least useful?
For your advisors
Ask a franchise attorney to review the territory, renewal, transfer and termination terms.
Ask an accountant to build a cash-flow plan using your own assumptions, not the franchisor's.
Sources & vintage history
Every displayed fact is retained with its disclosure vintage, item, page, and reviewed status. Prior vintages remain on file rather than being overwritten.
Citations (2026 FDD)
- [1]Estimated initial investment — Item 7 · PDF p. 22
- [2]Standard initial franchise fee — Item 5 · PDF p. 11
- [3]Item 19 — Locations counted not stated in the reviewed record — Full reporting · PDF p. 53
- [4]Item 19 — Locations counted not stated in the reviewed record — Franchised · PDF p. 54
- [5]Item 19 — Locations counted not stated in the reviewed record — Affiliate · PDF p. 54
- [6]Item 19 — Locations counted not stated in the reviewed record — January1stores includinglaterclosed · PDF p. 55
- [7]Item 19 — Locations counted not stated in the reviewed record — Stores opened duringyear · PDF p. 55
- [8]Item 19 — Locations counted not stated in the reviewed record — All system stores operated duringyear · PDF p. 55; PDF p. 56
- [9]Item 19 — Locations counted not stated in the reviewed record — Stores continuouslyopen currentandpriorfullyears · PDF p. 55; PDF p. 56
- [10]Item 19 — Locations counted not stated in the reviewed record — Top25% · PDF p. 54
- [11]Item 19 — Locations counted not stated in the reviewed record — Bottom25% · PDF p. 54
- [12]Outlet counts — Item 20, Table 1 · PDF p. 57
"PDF p." is the page in the PDF file; "printed p." is the number printed on the FDD page. Source document: FDD
Territory & operations
No territory or operating requirements have been reviewed yet.
44 addresses in Franopolis's imported location list. Coverage may differ from Item 20 outlet counts.
These are contract disclosures, not confirmation that any territory is currently available.
Legal & agreement
Franchisor financial statements
No verified franchisor financial statement figures have been reviewed yet.
What changed from 2025 to 2026
- Franchise fee: $4,200 → $130,000
- System size: 152 → 83 units
SBA-backed loans to franchisees
Loading…
Source: U.S. Small Business Administration 7(a) & 504 FOIA data. Loan volume is not a measure of franchisee success.
Related research
Brands in the same subcategory first, then the wider industry, ordered by shared business format, overlapping investment range, Item 20 outlet count and search interest. This is not a ranking or recommendation.
Head-to-head comparisons
At a glance
Business history
Not reviewed
Owner participation
Not reviewed
Territory language
Not reviewed
Litigation disclosure
Not reviewed
Bankruptcy disclosure
Not reviewed
Agreement term
Not reviewed
Reader notes on wording
Our automated check found that these summaries may not match the FDD's exact wording. Read the FDD excerpt itself; it is the authoritative text. Core cost, fee, Item 19 and outlet figures are not affected.
Item 19 · PDF p. 45 · 2025 FDD
Our summary: Table 1B Number attaining or exceeding median net sales — All locations, franchised and affiliate, open 12+ months
“30 (50.85%)”
Note: The PDF table header reads “Average Net Sales Number/% Attained or Exceeded Median Net Sales”; it does not specify whether the Number/% Attained or Exceeded is relative to average net sales or median net sales. The claim’s median qualifier cannot be settled from the cited table.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1E Median net sales — All affiliate locations
“$231,024.17”
Note: PDF p.46 reports Table 1E median net sales as $231,024.17, below its reported lowest net sales of $2,067,215.78 for the same two-location cohort. The table contains an unresolved internal contradiction; do not silently correct or infer the median.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1D Number attaining or exceeding median net sales — Franchised locations open 12+ months
“29 (50.88%)”
Note: PDF p.46 places “Number/% Attained or Exceeded” between the Average Net Sales and Median Net Sales headings, without stating whether the count/percentage is relative to the average or the median. The claim’s median qualifier cannot be settled from the table.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1E Number attaining or exceeding median net sales — All affiliate locations
“1 (50.00%)”
Note: PDF p.46 places “Number/% Attained or Exceeded” between the Average Net Sales and Median Net Sales headings, without stating whether the count/percentage is relative to the average or the median. The claim’s median qualifier cannot be settled from the table.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1C Number attaining or exceeding median net sales — All franchised locations
“37 (50.68%)”
Note: The PDF table header reads “Average Net Sales Number/% Attained or Exceeded Median Net Sales”; it does not specify whether the Number/% Attained or Exceeded is relative to average net sales or median net sales. The claim’s median qualifier cannot be settled from the cited table.
Item 19 · PDF p. 45 · 2025 FDD
Our summary: Table 1A Percentage attaining or exceeding median net sales — All locations, franchised and affiliate
“39 (52.00%)”
Note: The PDF table header reads “Average Net Sales Number/% Attained or Exceeded Median Net Sales”; it does not specify whether the Number/% Attained or Exceeded is relative to average net sales or median net sales. The claim’s median qualifier cannot be settled from the cited table.
Item 19 · PDF p. 45 · 2025 FDD
Our summary: Table 1B Percentage attaining or exceeding median net sales — All locations, franchised and affiliate, open 12+ months
“30 (50.85%)”
Note: The PDF table header reads “Average Net Sales Number/% Attained or Exceeded Median Net Sales”; it does not specify whether the Number/% Attained or Exceeded is relative to average net sales or median net sales. The claim’s median qualifier cannot be settled from the cited table.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1D Percentage attaining or exceeding median net sales — Franchised locations open 12+ months
“29 (50.88%)”
Note: PDF p.46 places “Number/% Attained or Exceeded” between the Average Net Sales and Median Net Sales headings, without stating whether the count/percentage is relative to the average or the median. The claim’s median qualifier cannot be settled from the table.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1C Percentage attaining or exceeding median net sales — All franchised locations
“37 (50.68%)”
Note: The PDF table header reads “Average Net Sales Number/% Attained or Exceeded Median Net Sales”; it does not specify whether the Number/% Attained or Exceeded is relative to average net sales or median net sales. The claim’s median qualifier cannot be settled from the cited table.
Item 19 · PDF p. 46 · 2025 FDD
Our summary: Table 1E Percentage attaining or exceeding median net sales — All affiliate locations
“1 (50.00%)”
Note: PDF p.46 places “Number/% Attained or Exceeded” between the Average Net Sales and Median Net Sales headings, without stating whether the count/percentage is relative to the average or the median. The claim’s median qualifier cannot be settled from the table.
Item 20 · PDF p. 47 · 2025 FDD
Our summary: Franchised 2023: 50 → 58
“Franchised 2023 50 58 +8”
Note: The cited page does not establish the Table 1 systemwide start/end row.
Item 20 · PDF p. 58 · 2026 FDD
Our summary: Table 3 Arizona 2025 — Reacquired
“202 5 8 2 0 0 0 0 10”
Note: This is not a verifiable national/systemwide Total row for Item 20.
Item 20 · PDF p. 58 · 2026 FDD
Our summary: Table 3 Arizona 2024 — Nonrenewals
“202 4 7 1 0 0 0 0 8”
Note: This is not a verifiable national/systemwide Total row for Item 20.
Item 20 · PDF p. 58 · 2026 FDD
Our summary: Table 3 Arizona 2025 — Nonrenewals
“202 5 8 2 0 0 0 0 10”
Note: This is not a verifiable national/systemwide Total row for Item 20.
Item 20 · PDF p. 47 · 2025 FDD
Our summary: Company-Owned 2024: 2 → 2
“*Company-Owned 2024 2 2 +0”
Note: The cited page does not establish the Table 1 systemwide start/end row.
Item 20 · PDF p. 47 · 2025 FDD
Our summary: Company-Owned 2023: 1 → 2
“*Company-Owned 2023 1 2 +1”
Note: The cited page does not establish the Table 1 systemwide start/end row.
Item 20 · PDF p. 47 · 2025 FDD
Our summary: Franchised 2024: 58 → 75
“Franchised 2024 58 75 +17”
Note: The cited page does not establish the Table 1 systemwide start/end row.
Item 20 · PDF p. 58 · 2026 FDD
Our summary: Table 3 Arizona 2025 — Ceased other
“202 5 8 2 0 0 0 0 10”
Note: This is not a verifiable national/systemwide Total row for Item 20.
Independent analysis of franchisor-provided data. Not investment advice. Franopolis does not distribute FDDs.