How to Open an Alamo Drafthouse Franchise
Alamo Drafthouse Cinema is a unique franchise opportunity, and we’re looking for franchisees who embrace our core philosophy. If you love movies, enjoy the thrill of running a business, and are experienced in the hospitality business, we should talk.
Our prospective franchisees should have:
- $10M in net worth (total for the entire group if multiple partners)
- $3M in liquidity (cash, stocks, bonds)
- Resources to develop one or more Alamo Drafthouse Cinema venues
- Excellent knowledge of trade area and the local real estate market that fits the profile for an Alamo Drafthouse Cinema
Our Franchise Process
Our vetting is thorough, detailed, and personable. We take our time to ensure our partners are well-suited because we recognize the significant investment in time and energy, as well as the financial obligation involved.
We know that this is a big step and our team will be with you every step of the way.
The Alamo Drafthouse New-Build Prototype
Alamo Drafthouse Cinema has a track record of success across different location types, including city centers and suburban markets. Our theaters are all unique, meaning the design can be adapted to best fit your site and market.
The new-build prototype is a great opportunity to develop the brand with tested designs that deliver a great consumer experience and promote operational efficiency. The prototype design is adaptable to fit different site and market specifications to reflect the needs of the local community.
From Prototype to One-of-a-Kind
Once you’ve settled on a site and we’ve determined if it will be a prototypical new build, a custom new build, or a conversion of an existing theater or other building, the fun truly begins. Each Alamo Drafthouse Cinema is designed to pay homage to the movies – and each in its own unique way. From a Star Wars theme to a circus big top to a collection of subtle nods to well-known films, your location will be unlike any other.
Our designers will work with you to create a theme and décor that will truly make your location unique and special.
Alamo Drafthouse Site Specifications
The right site is a vital component of the overall success of an Alamo Drafthouse Cinema. Our minimum site requirements are as follows:
VENUE
| GROSS BUILDING AREA | 40,000–45,000 sq. ft. |
| NUMBER OF THEATERS | 8–10 screens |
| SEATS | 800–1,000 seats |
| SITE* | 1 acre land required |
PARKING
| PARKING STALLS | 1 per 2.5 seats |
| SITE | 4 – 5 acres land required for surface parking |
*parking may be shared with larger master development plan.
Opening an Alamo Drafthouse FAQs
What’s involved in the franchise discovery process?
As with any franchise opportunity, the discovery process will include due diligence. This takes the form of interviews with Alamo Drafthouse Cinema’s leadership team and a thorough look at your experience, business goals, financials, and the feasibility of the market and potential site location. The length of this process varies according to the project complexity and development timeline.
What information is included in a franchise agreement?
The franchise agreement outlines every facet of the relationship between you and Alamo Drafthouse, including:
- Construction and opening timelines
- Upfront fees
- Royalty fees
- Expenses each party is responsible for
- Property maintenance requirements
- Insurance requirements
- Recordkeeping requirements
- Anything else that will make the relationship between franchisor and franchisee more streamlined
What is the franchise royalty fee for Alamo Drafthouse?
The current Alamo Drafthouse royalty fee is 5% of gross sales.
What are the pros and cons of buying a franchise?
The advantages of buying a franchise include brand recognition, lower risks, marketing and operational support, and having a proven business model and processes.
As far as the disadvantages go, it can be expensive to get started, and you will have to pay a portion of your gross sales to the franchisor as royalties. As with any franchise, you’ll be required to follow the rules, processes, and messaging set by the franchisor, so if you dislike these types of constraints, franchising might not be a good fit for you.
Own Your Own
Learn more about franchise opportunities with Alamo Drafthouse Cinema.