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Franchise guide

Burger franchise costs

What a burger franchise costs to open, drive-thru chains against fast-casual and sit-down burger brands, where the money goes and what restaurants sell.

Updated

Typical cost to open
$556K to $1.52M
Franchise fee
$35K typical
Royalty
5% of sales, typical
Sales a location
$1.56M typical a year

Burger franchising splits into the drive-thru giants, which have thousands of restaurants and mostly sell new sites to owners who already run several, and the better-burger brands, fast-casual or sit-down, which are smaller and still recruit first-time owners. The giants also sell existing restaurants: buying one from a retiring owner is a common way in, and the price then depends on that restaurant’s sales rather than on the estimate below.

Burgers are among the most expensive restaurants to build, because so many brands want a freestanding building with a drive-thru on a busy road.

What a burger franchise costs

Across the 63 brands on the burger list, the typical cost to open runs from $556K at the low end of each brand’s estimate to $1.52M at the high end. The low end is a small location in a cheaper market with little build-out; the high end a large site in an expensive one. Of these brands, 6 start at $250K or less and 1 at $100K or less.

Where the money goes

Each franchisor itemizes its cost to open. Grouping the lines for the 53 burger brands with a full breakdown shows what a typical budget pays for, as an average share of the high estimate, with the typical amount.

Share of a typical burger brand's high-end cost to open
  • Building, rent and fit-out $645K53%
  • Equipment, furniture and signs $448K28%
  • Working capital $50K6%
  • Insurance, licenses and other $37K5%
  • Franchise fee $35K3%
  • Training and travel $16K2%
  • Inventory and supplies $18K2%
  • Opening marketing $10K1%

The building is most of the bill: site work, a drive-thru lane, a kitchen with grills, fryers and ventilation, and a dining room. Many estimates leave out land, or assume you lease the site. In-line fast-casual shops in a strip center cost less to fit out but sell less through a window. Equipment and signs are the second largest share for most brands.

Cheapest and most expensive burger franchises

The cheapest burger brands with at least 20 US locations, by the low end of the cost to open. Use the full range on each brand’s page for budgeting, not the low end alone.

Cheapest burger franchises to open, brands with 20+ US locations
BrandCost to openLocations
Holy Burger$96K–$313K24
Wayback Burgers$256K–$859K184
Burger King$348K–$4.73M6,650
Dog Haus$357K–$626K59
Checkers & Rally's$449K–$1.92M453
MOOYAH$452K–$991K76
Killer Burger$462K–$999K25
Tex's Chicken & Burgers$517K–$866K52
Most expensive burger franchises, by the high end of the cost to open
BrandCost to openLocations
Culver's$3.41M–$10.3M1,041
Ford's Garage$3.6M–$6.4M34
Red Robin$2.71M–$5.79M464
Burger King$348K–$4.73M6,650
Jaggers$3.26M–$4.25M15

Fees and royalties

The typical burger brand charges a franchise fee of $35K, a royalty of 5% of sales and 2% to a marketing fund. Another 2 brands charge a flat or tiered royalty instead of a single percentage. Royalties and marketing come off sales before rent, staff or loan payments, so on a $1.56M year they cost about $109K. The fees and royalties guide compares industries.

What burger franchise locations sell

Of the burger brands, 26 publish a comparable yearly sales figure per location. The typical one is $1.56M, above the $797K typical across all brands.

Highest yearly sales per location, burger brands
BrandYearly salesSales ÷ cost
Culver's12 months ended December 31, 2025, 988 locations$4.14M0.6×
McDonald's2023, 11,972 locations$3.96M1.9×
The CounterDecember 1, 2024 to November 30, 2025, 6 locations$2.31M1.7×
Wendy'sfiscal 2024, 5,325 locations$2.11M0.9×
Habit Burger Grill2021, 24 locations$2.01M1.4×
Jack in the Box12 months ended September 30, 2025, 1,754 locations$1.91M0.6×
Freddy's Frozen Custard & Steakburgers2025 fiscal year, 477 locations$1.86M1.7×
Steak n Shakefiscal 2023, 228 locations$1.77M1×
Roy Rogers2022, 16 locations$1.73M1.2×
Smalls Sliders2025, 18 locations$1.71M1×

The largest drive-thru chains post some of the highest sales per restaurant of any franchise, but they also cost the most to build. Many burger brands sell less a year than they cost to open, so judge them on sales against cost, not on sales alone, and ask what rent comes on top of the royalty.

Which burger franchises are growing

Of the 31 burger brands with three years of figures, 18 added US locations from 2023 to 2025 and 12 shrank. The typical brand with 20 or more locations changed by −1.5%, against +3.8% across all franchises.

Fastest-growing burger franchises, 2023–2025, brands with 20+ US locations
BrandLocationsGrowth
Savvy Sliders42+100%
Ford's Garage34+70%
Freddy's Frozen Custard & Steakburgers580+27%
Culver's1,041+17%
Wayback Burgers184+15%
Five Guys1,583+7.2%

The brands that lost the most locations were Burger King (392), Sonic (134) and Checkers & Rally's (63). The fastest-growing franchises ranking covers every industry.

Who runs a burger franchise

Of the burger brands whose agreements are clear, 45 let a trained manager run the business day to day and 17 require the owner to. Initial training typically runs 158 hours, against 71 across all brands. The typical brand loses 1.3% of its franchised locations a year to closures, terminations and non-renewals. On the SBA Franchise Directory are 30 of the 63 brands, so SBA-backed loans are available for them.

Best burger franchises to own

These burger brands pass all five tests on the best franchises to own ranking: they grew, lost no more owners than is typical, publish earnings figures, are on the SBA directory and had 100 or more US locations three years ago.

Burger brands that pass all five tests, fewest exits first
BrandExits a yearGrowth
Culver's$3.41M–$10.3Munder 0.1%+17%
Freddy's Frozen Custard & Steakburgers$855K–$1.3M1.8%+27%

Before you buy a burger franchise

Some of the largest chains own or lease the restaurant site themselves and charge the owner rent, often as a share of sales, on top of the royalty and marketing fee; add it in before comparing what an owner keeps. Ask whether the brand requires a remodel every few years and what the last one cost owners, and whether it plans to sell new restaurants near yours.

Burger chains have both steady growers and brands closing restaurants each year; see the growth table above, each brand’s page and the failure rates guide.

Questions

Is it cheaper to buy an existing burger franchise than to build one?

Often, at least in time to profit. An existing restaurant comes with sales, staff and a lease, so you pay for its earnings rather than for construction, and you can check its books before you buy. You still pay the franchisor's transfer fee, may have to remodel to the current design, and must be approved as an owner.

Do the big burger chains sell to first-time owners?

Rarely for new restaurants. The largest drive-thru chains mostly develop new sites with owners who already run several of their restaurants, and expect a large amount of unborrowed cash. First-time owners usually start with a smaller burger brand or by buying one restaurant from an existing owner.