About Nancy's Pizza Franchise
Nancy's Pizza is a franchise restaurant system specializing in Chicago-style stuffed pizza, along with a full menu of pasta, sandwiches, and other approved items.
Franchisees operate either carry-out and delivery only (DELCO) restaurants or full-service restaurants that include dine-in facilities and a full bar offering liquor, beer, and wine.
The target customers are the general public, with franchisees serving retail consumers who order for dine-in, carry-out, or delivery.
Nancy's Pizza Franchise Cost & Fees
Minimum Investment
$583K
Average Investment
$1.2M
Maximum Investment
$1.9M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $30,000 - $50,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 3% of Gross Sales (Advertising Fund) plus 4% of Gross Sales (Local Advertising) | National brand fund |
| Total Investment Range | $582,600 – $1,897,000 | Includes build-out, inventory, working capital |
The investment range of $583K–$1.9M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Sales) and marketing fee (3% of Gross Sales (Advertising Fund) plus 4% of Gross Sales (Local Advertising)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Franchise Fee | $30,000 | $50,000 |
| Location Assistance Fee | $0 | $300 |
| Construction Assistance Fee | $0 | $300 |
| Rent - 1 Month | $3,200 | $25,000 |
| Security Deposits | $9,600 | $75,000 |
| Leasehold Improvements | $270,000 | $900,000 |
| Equipment, Furniture and Fixtures | $188,000 | $572,000 |
| Insurance - 3 months | $3,000 | $9,000 |
| Permits and Licenses | $2,000 | $10,000 |
| Initial Inventory | $10,000 | $41,000 |
| Signage | $6,000 | $20,000 |
| Grand Opening Advertising | $15,000 | $20,000 |
| Architecture | $18,000 | $70,000 |
| Travel Expenses for Training | $7,200 | $21,000 |
| Professional Fees | $1,500 | $7,500 |
| Opening Assistance | $0 | $5,000 |
| Additional Funds (3 months) | $20,000 | $70,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $20,000 (Franchise Agreement) / 200% of Initial Area Development Fee (ADA) |
| Renewal Fee | 50% of then-current initial franchise fee |
| Technology Fee | $100-$150 per month (Intranet and Cloud Training/Testing Modules) |
| Audit Fee | Cost of audit if understatement of 2% or more is found |
| Legal Gambling Fees | 40% of income derived from all gambling |
| Local Advertising | 4% of Gross Sales |
| Initial Training (additional attendees) | $1,000 per person |
| Additional On-Site Training | $150 per trainer per 8-hour day plus expenses |
| Interest on Overdue Amounts | 1.5% per month or highest rate allowed by law |
| Prohibited Product or Service Fee | $300 per day |
| Inspection and Testing of Product | $700 per product |
| Inspection and Testing of New Supplier | $10,000 per supplier |
| POS System Maintenance and Support | $2,800/year or $240/month |
| Management Fee | 7% of Gross Sales (minimum $1,400/week) plus expenses |
| Mystery Shopper Service | $60 per inspection per store |
| Online Ordering and Support Services | $89 to $300 per month per store |
| Online Ordering POS Integration Fee | $350 config fee + $0.35/transaction + $50 minimum monthly fee |
| Nancy's App and Loyalty Program Fee | $270 to $300 per month |
| Third-Party Delivery Services | Up to 32% of Gross Sales per item |
| Third Party Consolidator (Chowly) | $99 to $129 per month |
| Audio/Internet Services | $100-$300 per month |
| Reservation and Direct TV (Full-Service only) | $300-$900 per month |
| Gift Card Program | $24.95/month or $299.40/year |
| ATM Transaction Fees | $1.75 per transaction |
| Financial Reporting Non-Compliance Fee | $500 per month late |
| NSF Service Charge | $75 per occurrence |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 9 weeks |
| Classroom Training | 30 hours |
| On-the-Job Training | 240 hours |
| Training Location | Mokena, Illinois (corporate headquarters) and Training Restaurants in the Chicago, Illinois area |
| Additional Training | Up to 14 days of on-site pre-opening and opening training with up to 4 trainers. Post-opening additional training available at $300 per trainer per day plus travel and lodging. Franchisor may offer refresher training programs, seminars, video conferencing, and annual franchisee meetings which may be mandatory. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected (with significant reservations) |
| Exclusive Territory | No |
| Territory Size | Suburban areas: typically up to 2-mile radius; Metropolitan/urban areas: typically up to 1/8 mile radius; Non-Traditional Sites: no Protected Territory |
| Description | Franchisor will not establish or authorize another Nancy's Pizzeria within the Protected Territory during the franchise term, subject to franchisee compliance. However, franchisor retains rights to: sell products through alternative distribution channels within territory; operate at Non-Traditional Sites within territory; acquire and operate competing businesses within territory; and establish other brands within territory. No exclusive territory is granted. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One additional 10-year term |
| Renewal Fee | 50% of then-current initial franchise fee |
| Renewal Conditions | Timely written notice (9-12 months before expiration); substantial compliance throughout initial term and full compliance at expiration; all monetary obligations satisfied; financial reports submitted; business plan submitted 6 months before expiration; execute then-current franchise agreement (which may materially differ); make required modifications to restaurant within 6 months; extend lease to cover renewal term. |
| Transfer Fee | $20,000 (Franchise Agreement) / 200% of Initial Area Development Fee (ADA) |
| Transfer Conditions | All monetary obligations current; no defaults; execute general release; transferee must meet franchisor criteria, attend training, and sign then-current franchise agreement; pay transfer fee; franchisee must continue operating during transferee's training period (8-16 weeks). Franchisor has 30-day right of first refusal. |
| Termination for Cause | Immediate termination without cure for: insolvency/bankruptcy, operating at unapproved location, abandonment, felony conviction, unauthorized transfer, false books/records, unauthorized use of Marks, 3 defaults within 12 months, and others. 30-day cure period for: failure to comply with agreement requirements, failure to maintain standards, failure to obtain required approvals. 5-day cure for failure to pay amounts owed. |
| Non-Compete Period | 2 years after expiration or termination |
| Non-Compete Details | During term: franchisee and owners prohibited from any interest in a Competitive Business (derives 10%+ of revenues from pizza and/or pasta) anywhere in the world. After termination: for 2 years, prohibited from Competitive Business within 15-mile radius of any Nancy's Pizzeria in the system. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | Franchisee must designate an Operator who has ultimate responsibility for day-to-day operations. If the franchisee will not be the Operator, one must be designated prior to signing. DELCO Operator requires minimum 3 years restaurant operations experience; Full-Service Operator requires minimum 6 years experience plus 3 years management. A General Manager must also be designated to devote full time to supervising and managing the restaurant. At least 3 certified managers must be on staff at all times, each working minimum 5 eight-hour shifts per week. At least one certified manager must be present during all operating hours. |
| Required Suppliers | Franchisees must purchase all items from approved suppliers designated by the franchisor. Approximately 100% of purchases must come from approved suppliers or conform to franchisor specifications. Designated suppliers include architects, general contractors, food and beverage suppliers, POS systems, furniture/fixtures/equipment, custom fabrication, uniforms, social media, store branding, gift cards, online ordering, music, and store layout vendors. |
| Supply Restrictions | Franchisees may not purchase from unapproved suppliers without prior written approval. Approval process requires written request and payment of then-current fee ($700 per product, $10,000 per new supplier). Franchisor may revoke supplier approval at any time. |
| Franchisor Revenue from Suppliers | In fiscal year ended December 31, 2022, franchisor derived $309,751 (11% of total revenues of $2,818,423) from required purchases and leases. Franchisor may receive rebates ranging from less than 1% to up to 15% or more of franchisee purchases. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | The franchisor does not offer, either directly or indirectly, any financing arrangements. The franchisor does not guarantee notes, leases, or other obligations. |
Nancy's Pizza Franchise Earnings — Item 19
Average Revenue
$958K
Median Revenue
$777K
Revenue Range
$306K – $4.5M
Sample Size
26 units
Past financial performance does not guarantee future results. Individual results will vary.
Nancy's Pizza Litigation & Risk Flags
1 Pending Action ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Nancy's Pizza System Growth
Total Units
29
Franchised
29
Company-Owned
0
Nancy's Pizza currently operates 29 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 1 | 1 | 27 |
| 2021 | 0 | 0 | 28 |
| 2022 | 1 | 0 | 29 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 1 states: IL
Franchisor Financials (Item 21)
Revenue
$2.8M
Net Income
$593K
Total Assets
$3.8M
Audited by CliftonLarsonAllen LLP for year ending December 31.
Nancy's Pizza Franchise — FAQ
The total investment to open a Nancy's Pizza franchise ranges from $582,600 to $1,897,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $30,000 - $50,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Nancy's Pizza charges a royalty fee of 6% of Gross Sales of gross sales, plus a 3% of Gross Sales (Advertising Fund) plus 4% of Gross Sales (Local Advertising) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Nancy's Pizza Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Nancy's Pizza to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Nancy's Pizza franchise owners report average revenue of $958K and median revenue of $777K. This is based on a sample of 26 units. Past performance does not guarantee future results.
Nancy's Pizza has been franchising since 1994. The FDD shows an investment range of $582,600-$1,897,000, a 6% of Gross Sales royalty, and includes an Item 19 earnings disclosure. There are 1 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $30,000 - $50,000 and the total investment ranges from $582,600 to $1,897,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Nancy's Pizza and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Nancy's Pizza or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com