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Franchise Opportunity Deep Dive: The iconic brand combines its well-known frozen treats with burgers, chicken and other food offerings through its DQ Grill & Chill franchise model.
Dairy Queen is one of the most recognizable names in quick-service restaurants, with more than 7,800 locations in more than 20 countries. The brand is known for its soft-serve treats, including the Blizzard Treat, alongside a food menu that includes burgers, chicken, fries and other quick-service staples. For prospective U.S. franchisees, Dairy Queen's primary development opportunity is the DQ Grill & Chill concept, which combines the brand's food and treat offerings in a modern restaurant format.
Dairy Queen traces its roots to the McCullough family, which operated the Homemade Ice Cream Company in Green River, Illinois, beginning in 1927. J.F. "Grandpa" McCullough and his son, Alex, developed the soft-serve concept in the late 1930s. They later worked with Harry Oltz, who had developed a frozen custard dispenser, to bring the product to customers.
Dairy Queen opened its first store in Joliet, Illinois, in 1940, serving soft-serve cones, sundaes, pints and quarts. Franchising fueled rapid growth, taking the system from 100 locations in 1947 to 2,600 by 1955. The brand added hot food over the years and introduced the Blizzard Treat in 1985. Berkshire Hathaway acquired International Dairy Queen Inc. in 1998, and the first DQ Grill & Chill opened in 2001, creating the format that is now Dairy Queen’s primary U.S. franchise opportunity.
Mission: Dairy Queen focuses on creating memorable experiences for its customers through food, treats and hospitality, with the goal of giving fans "a smile and a story."
Vision: The brand aims to protect and grow the Dairy Queen legacy for future generations while continuing to expand its presence and build lasting relationships with customers and communities.
Dairy Queen continues to offer development opportunities across the United States. The franchise website names several U.S. "hot markets,” including:
Initial Costs: The estimated initial investment required to begin operation of a Dairy Queen franchise ranges from $548,700 to $1,595,350 for a DQ Treat franchise and $1,510,100 to $2,550,100 for a DQ Grill & Chill model. The 2026 Franchise Disclosure Document (FDD) breaks these costs down as follows:
| Type of Expenditure | DQ Treat | DQ Grill & Chill | ||
Min | Max | Min | Max | |
| Initial Franchise Fee | $25,000 | $25,000 | $45,000 | $45,000 |
| ALTA Survey/Site Investigation Report | — | — | $0 | $10,000 |
| Initial Training Fees & Costs | $200 | $3,700 | $2,100 | $11,100 |
| Travel & Living Expenses for Training Programs | $0 | $8,650 | $0 | $31,500 |
| Building, Construction & Leasehold Improvements | $235,000 | $870,000 | $800,000 | $1,400,000 |
| Prepaid Rent & Security Deposit | $2,500 | $5,500 | — | — |
| Construction Consultation Services | $0 | $7,500 | $0 | $7,500 |
| Building Plans, Design Intent Plans & Architectural Seal | $7,000 | $50,000 | $15,000 | $60,000 |
| Equipment, Including Signs & Point-of-Sale Systems | $220,000 | $420,000 | $550,000 | $700,000 |
| Training Inventory | $3,000 | $8,000 | $8,000 | $15,000 |
| Opening Inventory | $7,000 | $17,000 | $25,000 | $40,000 |
| Utility Deposits, Business Licenses & Government Charges | $3,000 | $15,000 | $4,000 | $17,000 |
| Attorneys' Fees | $5,000 | $10,000 | $10,000 | $15,000 |
| Additional Funds (3 Months) | $41,000 | $155,000 | $51,000 | $198,000 |
Initial Franchise Fee: The initial franchise fee is $45,000 for a DQ Grill & Chill franchise and $25,000 for a DQ Treat franchise. Both require a $10,000 nonrefundable deposit when the franchise application is submitted, with the balance due after approval. DQ Grill & Chill conversion franchisees and qualifying existing franchisees relocating a restaurant do not pay an initial franchise fee.
Ongoing Fees: According to the 2026 FDD, Dairy Queen franchisees are responsible for the following ongoing payments and fees:
| Type of Fee | Amount (DQ Treat) | Amount (DQ Grill & Chill) |
| Continuing Licensing | 5% gross sales/month | 4% gross sales/month |
| Sales Promotion Program Fee | 5% - 6% gross sales/month | 5% - 6% gross sales/month |
ROI Potential: According to the 2026 FDD, 286 qualifying DQ Grill & Chill restaurants that operated and reported sales for all 12 months of 2025 reported the following annual gross sales:
Average | Median | High | Low |
$1,485,731 | $1,413,799 | $3,148,939 | $601,647 |
The 2026 FDD for DQ Treat locations does not include Item 19 information.
Dairy Queen works with franchisees through the restaurant development process, beginning with market analysis and site selection. Franchisees participate in identifying potential sites, but each location must meet DQ Grill & Chill standards, fit the company's market strategy and receive formal approval.
The company's development, architecture and design teams also assist with restaurant planning and construction. New-store operations consultants help franchisees prepare for opening and support management and crew training.
Dairy Queen requires three primary components of training: the Management Training Readiness Assessment, ServSafe certification and American Dairy Queen's training program at certified training restaurants in the U.S. and Canada.
Training program costs for three people are included with the initial franchise fee, although franchisees are responsible for applicable travel and living expenses. Additional candidates can attend for an additional fee.
Dairy Queen also provides resources for training restaurant employees, with an emphasis on brand standards, food quality, operational execution and guest experience.
Dairy Queen's franchise support extends beyond opening day. Operations business consultants provide ongoing assistance, while marketing teams support franchisees through advertising and local restaurant marketing.
The company also provides managed marketing and public relations around new restaurant openings, year-round advertising programs and assistance with market evaluation, development, architecture and construction.
The DQ Grill & Chill model incorporates point-of-sale systems and other restaurant technology into its required equipment package. On the consumer side, Dairy Queen also operates its DQ mobile app, which supports digital ordering, rewards and customer engagement.
Franchisees have access to the broader Dairy Queen operating system and resources used to maintain brand standards, support employee training and manage restaurant operations.
Previous quick-service restaurant or franchise experience is not required. However, Dairy Queen looks for candidates with business experience, leadership ability, sufficient financial resources and a connection to their local communities.
Candidates without restaurant experience must find a qualified operating partner with QSR drive-thru experience. Dairy Queen also expects franchisees to build and maintain a capable management team.
Dairy Queen looks for franchisees who are actively committed to the brand and the operation of the business. Successful candidates are expected to have the leadership and management resources needed to recruit, train and develop employees and oversee restaurant performance.
The brand requires three certified DQ managers for a DQ Grill & Chill restaurant. Although a franchisee does not necessarily need previous restaurant experience, Dairy Queen requires access to qualified operational leadership with QSR drive-thru experience.
Dairy Queen does not offer direct financing but can refer franchisees to financial institutions that have experience with lending to franchisees.
"DQ is different from so many other QSR brands because it has a legacy of creating smiles and memories across many generations."
- Blake, Franchisee — Arkansas
"Investing in something with staying power was very important to us. The DQ® system has been around for more than 75 years and appeals to people of all ages. They really live by the ‘smile and a story’ mentality. People remember their experiences with the DQ® brand. From working with everyone at the DQ® corporate office, it is clear that the brand has a well-defined identity and is constantly looking forward without losing sight of what the core of the brand is.”
- Aimee & Terry, Franchisees — Arkansas and Alabama
See more testimonials here.
Dairy Queen operates in the large and highly competitive U.S. quick-service restaurant market. The National Restaurant Association projected total U.S. restaurant and foodservice sales would reach $1.55 trillion in 2026.
Additionally, the brand operates in the ice cream category, which is worth over $21 billion and projected to reach $30 billion in the United States.
Dairy Queen competes across more than one restaurant category. Its burgers, chicken and drive-thru business put DQ Grill & Chill in competition with major QSR brands such as McDonald's, Wendy's and Burger King. Its frozen desserts also put it in competition with ice cream and dessert concepts such as Baskin-Robbins, Cold Stone Creamery, Culver's and Freddy's Frozen Custard & Steakburgers.
One of Dairy Queen's key differentiators is its ability to combine a full quick-service food menu with signature frozen treats under one established brand. The Blizzard Treat gives Dairy Queen a recognizable product that can generate visits outside traditional lunch and dinner occasions, while the Grill & Chill format gives franchisees access to broader meal occasions.
Dairy Queen outlines a five-step process for prospective DQ Grill & Chill franchisees. The entire franchise development process takes an average of approximately 18 months from the initial inquiry to restaurant opening, although the timing depends heavily on real estate conditions and the franchisee's progress through development.
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