🍽️ Licensing Your Restaurant to Airport Operators
Deal Structure & Royalty Guide | February 2026
How It Works
You (the Licensor) grant an airport concessionaire (the Licensee) the right to operate your restaurant concept at airports. They handle buildout, staffing, and operations. You provide your brand, recipes, and quality standards — and collect royalties.
Typical Deal Structure
💰 What You Receive
| Component |
Typical Amount |
Notes |
| Upfront License Fee |
$25,000 - $100,000+ |
One-time payment per location; covers brand rights, training, initial setup |
| Ongoing Royalty |
4% - 6% of gross sales |
Paid monthly or quarterly; industry standard for restaurant brands |
| Marketing Fund |
1% - 2% of gross sales |
Optional; for brand promotion (sometimes included in royalty) |
| Renewal Fee |
$10,000 - $25,000 |
At end of initial term if agreement is extended |
📋 What You Provide
- Brand name, logo, trademarks
- Menu & proprietary recipes
- Design standards & specs
- Initial training program
- Operations manual
- Quality control visits (optional)
- Ongoing brand support
🏗️ What Operator Handles
- All buildout costs ($500K-$2M+)
- Airport lease/rent (10-15% of sales)
- Staffing & payroll
- Day-to-day operations
- Inventory & supplies
- Insurance & compliance
- Airport security requirements
Major Airport Operators (Potential Licensees)
| Operator |
Airports |
Brand Examples |
| HMS Host (Avolta) |
76+ airports |
Starbucks, Shake Shack, Tortas Frontera |
| SSP America |
30+ airports |
Local restaurant partnerships |
| Paradies Lagardère |
100+ airports |
PGA Tour Grill, local brands |
| Delaware North |
Major hubs |
Sports venue + airport F&B |
| Areas USA |
15+ airports |
European-based operator |
Royalty Rate Factors
⬆️ Higher Royalty (6-8%)
- Strong brand recognition
- Proven airport track record
- Celebrity chef/owner
- Exclusive recipes/IP
- Local cult following
- Multiple location deal
⬇️ Lower Royalty (3-5%)
- New/unproven concept
- Operator handles all buildout
- Non-exclusive agreement
- Limited brand support
- First airport location
- Smaller airports
Key Agreement Terms
| Term |
Typical |
Notes |
| Initial Term |
5-10 years |
Matches airport concession contract length |
| Territory |
Specific airport(s) |
Can be exclusive or non-exclusive per airport/region |
| Quality Control |
Monthly/Quarterly audits |
Right to inspect, require compliance |
| Menu Approval |
Required |
You approve any menu changes |
| Termination |
30-90 days notice |
For cause (quality issues, non-payment, etc.) |
| Insurance |
$1M-$5M liability |
Operator carries; you're named as additional insured |
Example: Local Brand Success
Tortas Frontera by Rick Bayless — Chicago chef licensed his brand to HMS Host. Now operates at O'Hare & Midway. Bayless provides menu, recipes, and quality oversight. HMS Host handles all operations. Estimated royalty: 5-6% of gross sales.
Next Steps to License Your Concept
- Package your brand — Logo, recipes, design specs, operations manual
- Contact operators — Pitch to HMS Host, SSP, Paradies (see contacts above)
- Negotiate terms — Upfront fee + royalty rate + territory
- Legal review — Have attorney review licensing agreement
- Launch & monitor — Training, opening support, ongoing QC