Dave & Buster’s is a place where people can eat, drink, and play games all in one. It has been a popular spot for family fun and other outings since 1982. This chain offers American food, drinks, video games, and bars. However, many people don’t know whether Dave & Buster’s expensive or not.
If you are thinking of owning a Dave & Buster’s place, this article will tell you about the costs, training, rules, and how much money you could make.
About The Dave And Buster’s History
Dave & Buster’s was started in 1982 in Little Rock, Arkansas, by Dave Corriveau and Buster Corley. It became famous quickly because of its fun mix of food and games.
In 1987, they opened more stores in Texas. In 1993, they bought a Canadian company called “The Rec Room” and started opening stores in Canada.
In 1999, they opened a big game room at the Mall of America. In 2006, they added burgers to their menu.
In 2008, they opened their first stores outside of North America in Japan and Mexico. More stores opened in other countries after that.
By 2016, there were over 100 Dave & Buster’s places in the US and Canada. In 2020, they bought Main Event Entertainment, another company like them.
Dave & Buster’s Franchise Model
Right now, Dave & Busters does not let people start new stores in the United States, only in Canada and other countries. In Canada and North America, franchises make up more than 72 percent of the company’s money.
| Information | Details |
|---|---|
| Starting Investments | $11,800,000 |
| Company Type | Bar |
| Company Foundation Year | 1982 |
| Year of Launching the Franchise | 1998 |
| Franchise Enterprises | 143 |
| Franchisees in USA | 141 |
| Franchisees in Other Countries | 2 |
| Corporate Address | 2481 Manana Drive Dallas, TX 75220 United States |
| Minimum Investments Required | $11.8 million |
| Considerations for Investment | Real estate, equipment, signs, licenses, uniforms, insurance, etc. |
| Evaluate Prior Experience and Strengths | Assess your business experience before applying |
| Assess Market Availability | Check for available markets in your location |
Dave & Buster’s Revenue & Profit
| Metric | 2021 | 2020 (for comparison) | Details |
|---|---|---|---|
| Total Revenue | $0.44 billion | $1.35 billion | 67% decrease in 2021 due to pandemic-related store closures |
| Third Quarter Net Income | $10.6 million | -$48 million (loss) | Strong recovery from net loss in 2020 |
Dave and Busters faced a challenging year in 2021, with their revenue showing a big drop from the previous year. In 2021, the company’s total revenue was $0.44 billion, a decrease of 67% compared to 2020’s revenue of $1.35 billion. This drop was mainly due to store closures during the pandemic. However, there is hope for a recovery in revenue over the next two years as lockdowns are eased.
In addition to the revenue, it’s important to look at the company’s profit. In the third quarter of 2021, Dave and Busters reported a net income of $10.6 million. This is a strong recovery from the same period in 2020, when the company had a net loss of $48 million. Positive signs like the planned opening of 1-2 more stores in the next 12 months show that the company’s financial situation is improving.
Furthermore, the company’s decision to buy back $100 million of its own shares signals confidence in its future revenue and profits. This action often means that the company believes its shares are undervalued, and it’s a positive sign for the company’s financial outlook.
Dave & Buster’s Zone Development Agreement
A Zone Development is a deal where the person who owns the franchise must open a certain number of Dave and Buster’s in a certain place and time. You will need a space that is at least 26,500 square feet for a “small” store. For a “larger model,” you should have more than 40,000 square feet.
Dave & Buster’s Requirements
If you want to open a Dave & Buster’s, here’s what you need:
- A games arcade section that can hold more than 50 people.
- A special events area with seats for more than 200 people.
- Enough parking for 300-400 cars.
- A building that is two levels high and has at least 16 feet of open space.
The restaurant franchise market offers several opportunities for entrepreneurs, such as franchises from Cava Franchise, Golden Corral Franchise, Texas Roadhouse, Portillo’s Franchise, and Hooters Franchise.
Frequently Asked Question
Does Dave and Busters offer franchising?
No, Dave and Buster don’t provide franchise opportunities.
How much does a Dave and Busters franchise cost?
As mentioned above, dave busters do not offer franchises. Therefore, no information is available related to the cost of the Dave and Busters franchise.
Who is the owner of Dave And Buster Franchise?
Dave & Buster’s Entertainment, Inc. is the franchisor of Dave & Buster’s restaurant chain. The company is owned by Oak Hill Capital Partners and was founded in 1982 as “Dave & Buster’s”.
Amit Gupta is an experienced expert in digital marketing and co-founder of DrFranchises. With more than 11 years of knowledge in franchise digital marketing, SEO, email marketing, and social media marketing, Amit has helped many brands achieve incredible success online. As a passionate entrepreneur and owner of 7 franchises, he continues to study franchise models, looking at costs, revenue, and profitability to guide brands toward profitable growth. When he’s not working on digital marketing, Amit enjoys spending time playing with his beloved dog.