Chain giving franchisees up to $200K to open new restaurants

Diary Queen announced last week that it will give cash incentives to franchisees who open new restaurants.

Chain giving franchisees up to $200K to open new restaurants

Dairy Queen is turning up the heat on its expansion plans. As reported by Nation’s Restaurant News, the fast-food giant announced a major cash incentive program last week designed to accelerate the opening of new restaurant locations.

Boosting Growth with Cash Incentives

The new program offers a $150,000 lump sum payment for franchise owners who open a new Grill & Chill unit. The deal gets even sweeter for those looking to expand further: any subsequent freestanding restaurants opened within an 18-month window of the first will qualify for a larger $200,000 cash incentive. These benefits are available to franchisees operating in both the U.S. and Canada.

According to Gregg Benvenuto, vice president of franchise development, the initiative is built to empower operators who possess a clear development strategy and a desire to grow alongside the brand.

Market Context and Investment

This strategy places Dairy Queen in the ranks of other major chains like Firehouse Subs, which are also utilizing incentives to drive new store development. The move comes as the brand looks to regain momentum; Technomic Ignite data indicates that Dairy Queen closed more than 2% of its U.S. locations, ending 2025 with just over 4,100 restaurants.

For prospective operators, entering the Grill & Chill business is a significant commitment. According to the company’s franchise website, the initial investment required for a new location ranges between $1.5 million and $2.6 million. 205focus.com will continue to monitor how these new incentives impact the brand's footprint.