Black Bear Diner
Black Bear Diner offers family-style restaurants with signature entrees featuring large portions. Known for huge portions in a casual dining setting, it operates in the quick-service restaurant sector.
About Black Bear Diner
BBDI LLC., doing business as Black Bear Diner, is a restaurant chain in the Western United States which serves homestyle and "old-fashioned" comfort foods. Black Bear Diner has 166 locations in 14 states as of August 2025.
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Black Bear Diner franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a single Black Bear Diner restaurant ranges from $1,546,200 to $2,349,000. This includes a Franchise Fee of $55,000 and covers additional costs such as transportation, meals, and lodging for training [p.20].
What is the initial franchise fee?
The initial Franchise Fee for your first Black Bear Diner restaurant is $55,000 [p.13]. This fee is paid in a lump sum at the time of signing the Franchise Agreement and is generally non-refundable [p.13].
What are the ongoing royalty and advertising fees?
The ongoing royalty and advertising fees are not specified in detail regarding their exact amounts in these excerpts. However, it is mentioned that franchisees are contractually obligated to contribute into certain advertising and marketing funds, and these contributions are presented gross with related expenses in the Company's financial statements [p.165]. Additionally, royalties are based on sales generated for each restaurant, but specific percentages or amounts are not provided [p.146].
How long is the initial franchise agreement, and can I renew it?
The initial franchise agreement is typically ten years in length [p.146]. The terms regarding renewal are not specified in the excerpts provided.
Can I sell or transfer my franchise, and what does that require?
To sell or transfer your franchise, you must provide a complete copy of all contracts and agreements related to the sale to the franchisor. The franchisor can refuse the transfer for good cause, which includes reasonable concerns about the transferee's ability to meet debt obligations while deriving a profit from the business [p.94].
On what grounds can the franchisor terminate the agreement?
The franchisor may terminate the agreement on any grounds available by law [p.190].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The provided FDD excerpts focus on the franchisor's obligations regarding initial investment escrow but do not detail the specific financial requirements needed for a franchisee to qualify.
Do I get an exclusive or protected territory?
Yes, under the Franchise Agreement, you will receive a geographic area known as a 'Protected Territory' where you have exclusivity during the term of the agreement. This Protected Territory typically encompasses an approximate 3-mile radius around your Franchised Restaurant [p.36]. However, if you enter into an Area Development Agreement, you will also receive a Development Area with exclusive rights to develop one or more Black Bear Diner restaurants within that designated area [p.30-37].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program consisting of approximately 320 hours of on-the-job training over eight weeks, supplemented by classroom or online training. This includes practical training in food preparation, marketing, customer service techniques, equipment maintenance, point-of-sale system operations, and grand opening procedures [p.76]. Additionally, the franchisor offers ongoing support such as development of training materials and menu items, restaurant monitoring, and inspections [p.146].
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor does not make any financial performance representations [p.51] and does not authorize its employees or representatives to do so either orally or in writing. However, if you are purchasing an existing outlet, they may provide actual records of that outlet's performance [p.51]. This isn't specified in the excerpts for new franchises.
What am I restricted to selling, and where must I buy supplies?
You are not specifically restricted to selling any particular products or services beyond what is outlined in the system. However, you may have to buy or lease certain items from the franchisor or a limited group of suppliers they designate, which could be more expensive than other options [p.3]. You must purchase all food and beverage items, ingredients, equipment, and supplies required for your Black Bear Diner Restaurant only from approved suppliers as designated by the franchisor [p.23].