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Franchise guide

Brands that don't franchise

Some of the best-known chains in the country don't sell franchises: they own their locations, license them to other companies, or franchise only abroad. Here is how each one is run, and the franchise closest to it that you can open.

Updated

Company-run
27 chains here
Licensed only
2 chains here
Few or closed
4 franchisees, chains here
Abroad only
3 chains here

People search for a Starbucks or Chipotle franchise because the brands are famous and busy. But a chain can grow without selling franchises, by opening its own locations or by licensing them to companies that already run airports, travel plazas or overseas markets. Each chain below owns nearly all of its US locations, licenses them, or franchises only abroad or through partners it already has. Each has its own page with its sources and the franchise brands that come closest.

Chains and their closest franchise

How each chain is run, and the largest franchise like it
ChainClosest franchise
Starbucks Licensed, not franchisedDunkin' from $532K
Dutch Bros Closed to new franchiseesScooter's Coffee from $659K
Chipotle Company-ownedQdoba from $548K
CAVA Company-ownedThe Great Greek Mediterranean Grill from $705K
Sweetgreen Company-ownedChicken Salad Chick from $777K
Shake Shack Licensed, not franchisedFive Guys from $928K
In-N-Out Company-ownedJack in the Box from $1.91M
Raising Cane's Closed to new franchiseesChick-fil-A from $318K
Waffle House Closed to new franchiseesIHOP from $1.91M
Cracker Barrel Company-ownedIHOP from $1.91M
Olive Garden Company-ownedNoodles & Company from $669K
Portillo's Company-ownedNathan's Famous Branded Menu Program from $57K
Chuck E. Cheese Franchises abroad onlySky Zone from $3.25M
Topgolf Franchises abroad onlyX-Golf from $1.15M
Trader Joe's Company-owned7-Eleven from $165K
Wawa Company-owned7-Eleven from $165K
Dollar General Company-owned7-Eleven from $165K
Five Below Company-ownedPlato's Closet from $356K
lululemon Company-ownedPlato's Closet from $356K
FedEx Company-ownedThe UPS Store from $222K
First Watch Mostly company-ownedThe Original Pancake House from $483K
Dollar Tree Company-owned7-Eleven from $165K
Walmart Company-owned7-Eleven from $165K
The Cheesecake Factory Company-ownedApplebee's from $3.87M
U-Haul Company-ownedTwo Men and a Truck from $147K
Costco Company-owned7-Eleven from $165K
Dave & Buster's Franchises abroad onlySky Zone from $3.25M
Target Company-owned7-Eleven from $165K
Nike Company-ownedPlay It Again Sports from $346K
Sheetz Company-owned7-Eleven from $165K
CVS Company-ownedGood Neighbor Pharmacy from $44K
Home Depot Company-ownedAce Hardware from $604K
Publix Company-owned7-Eleven from $165K
Buc-ee's Company-owned7-Eleven from $165K
LongHorn Steakhouse Company-ownedOutback Steakhouse from $4.26M
Walgreens Company-ownedGood Neighbor Pharmacy from $44K

Licensed, not franchised

Starbucks and Shake Shack grow partly through licensing. A Starbucks licensee pays the running costs and the cost of building the store; Starbucks earns a margin on the coffee and supplies it sells to the licensee and a royalty on sales, and says most of its licensees are prominent retailers with access to space it couldn’t otherwise get (Starbucks annual report, fiscal 2025). That is a deal for a company that already runs stores, not a way to buy a single shop.

Where to look instead

The closest franchise is usually a younger brand in the same format: a drive-thru coffee chain instead of Starbucks or Dutch Bros, a fast-casual burrito brand instead of Chipotle, a diner chain instead of Waffle House. Start with what you want to run, then compare brands on cost to open, royalties and how often owners leave. The largest franchises are the most proven, and the fastest-growing are where new owners are signing now.

Questions

Is a licensed store the same as a franchise?

No. A licensee is usually a company that already controls the space, such as a retailer or an airport operator, and runs the brand inside it under the brand's rules. A franchise is sold to an owner who opens the business under the brand, pays an up-front fee and a royalty, and owns the business.