Established
1971
Franchise Units
65
Minimum Investment
$1,800,000
Franchise Fee
$35,000
Total Investment Range
$3,500,000
Home Based
No
Description
O’Charley’s is a well-established American casual dining restaurant brand recognized for its warm hospitality, scratch-made comfort food, and approachable neighborhood-bar atmosphere. For decades, the brand has been a familiar name across the United States, offering guests a dependable dining experience centered around quality steaks, hand-breaded chicken, burgers, fresh salads, and signature Southern-inspired favorites.
Positioned in the highly resilient casual dining segment, O’Charley’s balances full-service dining with bar appeal, making it relevant for families, working professionals, and social diners alike. The brand’s flexible menu, strong beverage program, and dine-in-focused experience allow franchisees to tap into multiple revenue streams while benefiting from a time-tested operating model.
As consumers continue to value familiar brands with consistent quality, O’Charley’s stands out as a franchise opportunity rooted in brand loyalty, operational discipline, and a scalable restaurant format that performs across suburban and secondary markets throughout the USA.
Why Invest in the O’Charley’s Franchise?
Investing in an O’Charley’s franchise offers entrepreneurs access to a proven restaurant concept backed by decades of operational experience.
Key investment advantages include strong brand recognition across multiple U.S. regions, a diversified menu that appeals to a wide demographic, and a casual dining format that supports repeat visits and long-term customer loyalty. The brand’s bar and beverage offerings enhance average ticket size, while promotional bundles and limited-time offers help drive consistent traffic.
O’Charley’s also benefits from standardized systems, supplier relationships, and operational playbooks refined over years of real-world restaurant performance. For investors seeking a recognizable, full-service restaurant franchise with balanced risk and brand equity, O’Charley’s represents a compelling opportunity in the U.S. casual dining space.
Background
Brand Name: O'Charley's
Industry Category: Casual Dining / Full-Service Restaurant
Established Year: 1971
Founder: Charles Watkins
Country of Origin: United States
O’Charley’s was founded in 1971 in Nashville, Tennessee, by entrepreneur Charles Watkins, who envisioned a welcoming neighborhood restaurant that combined generous portions, quality ingredients, and genuine Southern hospitality. The brand quickly resonated with American diners looking for a comfortable, full-service dining experience that balanced value with consistency.
Throughout the 1980s and 1990s, O’Charley’s experienced strong expansion across the Midwest, Southeast, and Southern United States. During this period, the brand became widely recognized for its hand-cut steaks, scratch-made comfort food, and relaxed bar-and-grill atmosphere. Its positioning as a reliable casual dining destination helped it establish deep brand loyalty in many regional markets.
Over the years, O’Charley’s has evolved with changing consumer preferences while maintaining its core identity. The company introduced menu innovation, operational efficiencies, and restaurant design updates to stay competitive within the casual dining sector. Ownership transitions and strategic restructuring allowed the brand to streamline operations, optimize underperforming locations, and refocus on profitable markets.
Today, O’Charley’s operates with a national footprint of approximately 65 active restaurants across the United States, supported by a combination of franchised and company-operated units. The brand continues to focus on sustainable growth, franchise partnerships, and strengthening its presence in suburban and secondary markets where full-service casual dining remains in high demand.
Support Training
O’Charley’s offers franchise partners a comprehensive support system designed to guide operators from site selection through long-term operations.
Pre-Launch Support includes assistance with market evaluation, site selection guidance, restaurant layout standards, and vendor coordination. Franchisees receive support during construction, equipment procurement, and pre-opening staffing preparation.
Training Programs are extensive and immersive, covering restaurant operations, food preparation standards, service protocols, bar management, inventory control, and cost management. Training is delivered through a combination of classroom instruction, in-restaurant practical learning, and digital resources.
Operational Support continues post-opening with field consultants, standardized operating procedures, performance benchmarking, and operational audits aimed at driving consistency and profitability.
Marketing & Brand Support includes national and regional marketing initiatives, promotional calendars, menu innovation, and guidance on local store marketing strategies to build community presence and repeat customer engagement.
Ideal Candidate
The ideal O’Charley’s franchisee is a hands-on or semi-absentee operator with strong leadership skills and a passion for hospitality. Prior experience in restaurant management, multi-unit operations, or customer-service-driven businesses is highly beneficial, though not mandatory.
Successful candidates typically demonstrate financial stability, operational discipline, and the ability to recruit, train, and retain high-performing restaurant teams. Franchisees should be committed to upholding brand standards, delivering consistent guest experiences, and actively engaging with their local markets.
O’Charley’s is well-suited for entrepreneurs seeking a full-service restaurant franchise in suburban or mid-sized metropolitan markets with strong family dining demand and evening traffic.
Financial Detail
| Cost / Fee Category | Estimated Amount (USD) |
|---|---|
| Initial Franchise Fee | $35,000 – $50,000 |
| Total Initial Investment | $1.8M – $3.2M |
| Minimum Net Worth Requirement | $2.5M+ |
| Minimum Liquid Capital | $750,000+ |
| Restaurant Size | 5,500 – 7,000 sq. ft. |
| Leasehold Improvements | $800,000 – $1.4M |
| Equipment & POS Systems | $350,000 – $550,000 |
| Furniture, Fixtures & Décor (FF&E) | $250,000 – $400,000 |
| Initial Inventory & Supplies | $40,000 – $75,000 |
| Pre-Opening Marketing | $25,000 – $50,000 |
| Working Capital (3–6 months) | $150,000 – $300,000 |
| Ongoing Royalty Fee | ~4% – 5% of gross sales |
| Brand / Marketing Fund | ~1% – 2% of gross sales |
| Estimated Break-Even Period | 24 – 36 months |
| Primary Revenue Streams | Dine-in, bar & beverage, catering |