Freddy's Frozen Custard & Steakburgers franchise
Freddy's Frozen Custard & Steakburgers serves thin, crispy steakburgers, hot dogs and shoestring fries alongside frozen custard made fresh in-store, in a 1950s-style setting with a drive-thru. At the end of 2025 there were 580 Freddy's Frozen Custard & Steakburgers locations in the US, 542 franchised and 38 company-owned.
- Cost to open
- $855K–$1.3M
- Franchise fee
- $35,000
- Royalty
- 5%
- Locations, 2025
- 580+115 in 3 yrs
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Company snapshot
- Agreement length
- 15 years
- Financing
- None offered
From Freddy's, L.L.C’s 2026 filing.
How much a Freddy's Frozen Custard & Steakburgers franchise costs
Opening an in-line Freddy's restaurant costs an estimated $854,834 to $1,302,000. That covers the franchise fee and everything else needed to open, through the first months of working capital.
| End-cap restaurant | $1,026,334 to $2,361,000 |
|---|---|
| Free-standing restaurant | $1,586,334 to $2,802,000 |
Source: Freddy's, L.L.C, 2026 filing, page 19
Freddy's Frozen Custard & Steakburgers franchise fee
The franchise fee is $35,000, as a licence fee, plus a $35,000 advisory fee for your first restaurant. You pay it when you sign the franchise agreement.
Source: Freddy's, L.L.C, 2026 filing, page 11
Royalty and ongoing fees
| Royalty | 5% of gross receipts, paid weekly. |
|---|---|
| Brand or marketing fund | Currently 2.5% of gross receipts to the national marketing fund (0% to 3%). |
Source: Freddy's, L.L.C, 2026 filing, page 13
Sales and earnings
Shares figures Freddy's Frozen Custard & Steakburgers publishes sales or earnings figures for its locations: it reports 2025 gross receipts for 475 franchised and 35 company restaurants open the full year. The full tables, with notes on which locations are counted, are in its filing.
Source: Freddy's, L.L.C, 2026 filing, page 46
Locations opened and closed
| Year | Franchised | Company-owned | Closed |
|---|---|---|---|
| 2023 | 484 (+57) | 33 | 4 |
| 2024 | 514 (+30) | 36 | 7 |
| 2025 | 542 (+28) | 38 | 19 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
Source: Freddy's, L.L.C, 2026 filing, page 58
How Freddy's Frozen Custard & Steakburgers compares
Of the 11 burger franchises on this site, Freddy's Frozen Custard & Steakburgers is the 3rd cheapest to open and the 9th largest by number of locations.
| Measure | Freddy's Frozen Custard & Steakburgers | Typical burger |
|---|---|---|
| Cost to open, low end | $855K | $1.39M |
| Royalty | 5% | 4.8% |
| Closed or left per year | 2% | 1.9% |
| Change in franchised locations, 3 yrs | +26.9% | −2.4% |
| Shares earnings figures | Yes | 9 of 11 |
Typical is the median across the 11 brands in burger franchises.
Other burger franchises
Freddy's Frozen Custard & Steakburgers franchise questions
Does Freddy's Frozen Custard & Steakburgers help with financing?
No. Freddy's Frozen Custard & Steakburgers does not offer financing or guarantee loans or leases, so buyers arrange their own, usually a bank or SBA loan.
How long is a Freddy's Frozen Custard & Steakburgers franchise agreement?
The initial term is 15 years. Renewal is usually possible if you're in good standing, often for a fee and a remodel.
Is Freddy's Frozen Custard & Steakburgers growing or shrinking?
Over the last 3 years 145 franchised locations opened and 30 closed or left, a net change of +26.9%. About 2% of locations closed or left each year. That is in line with the 1.9% typical for burger franchises.
How does Freddy's Frozen Custard & Steakburgers compare with other burger franchises?
Of the 11 burger franchises here, Freddy's Frozen Custard & Steakburgers is the 3rd cheapest to open (low end $855K against a $1.39M median) and the 9th largest by number of locations. Its 5% royalty is in line with the 4.8% median.
Does Freddy's Frozen Custard & Steakburgers say how much franchisees make?
Yes: it reports 2025 gross receipts for 475 franchised and 35 company restaurants open the full year. Your results can differ; the filing explains which locations are counted.