Steak n Shake franchise
2024 filing · March 28, 2024Shares sales figures
Steak n Shake at a glance
A burger restaurant serving steakburgers, fries and hand-dipped milkshakes, with counter and kiosk ordering. At the end of 2023 there were 255 Steak n Shake locations in the US, 111 franchised and 144 company-owned, so most are run by the company itself.
The business
- Franchisor
- Steak n Shake Enterprises, Inc
- The company that sells the franchises
- Franchisor based in
- Indianapolis, Indiana
- Typical size
- 13,000–26,000 sq ft
What you pay
- Cost to open
- $1.34M–$2.34M
- Freestanding quick service
- Franchise fee
- $25,000
- Paid once, when you sign
- Royalty
- 5%
- 5% of gross receipts (a 4% royalty and system fee plus a 1% license fee), or up to 10% in markets where the company runs its own restaurants and at some non-traditional sites
- Agreement length
- 10 years
- Franchisor financing
- Introductions to lenders
Where it is
- US locations, 2023
- 255
- Franchised and company-owned
- Franchised
- 111
- Company-owned
- 144
From Steak n Shake Enterprises, Inc’s 2024 filing; SBA status from the SBA Franchise Directory, October 28, 2026.
Where it ranks
Steak n Shake among all franchises with the same figure.
| Figure | Steak n Shake | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $1,842,402 | Costs more than 91% of franchises |
| Franchise feePaid once, when you sign | $25,000 | Lower than 82% of franchises |
| RoyaltyShare of sales paid to the franchisor | 5% | Lower than 69% of brands with a set rate |
| US locationsFranchised and company-owned | 255 | More than 89% of franchises |
| Sales per locationYearly, as the brand reports it | $1,772,941 | Higher than 84% of brands that share sales figures |
| Sales against cost to openYearly sales over the cost midpoint | 1.0× | Lower than 79% of brands that share sales figures |
How much a Steak n Shake franchise costs
Opening freestanding quick service costs an estimated $1,344,419 to $2,340,385. That covers the franchise fee and everything else needed to open, through the first months of working capital.
The biggest costs are building or leasehold improvements ($572,151 to $922,824) and site improvements ($355,902 to $574,036). Here is every line of the estimate as filed:
| What it pays for | Range | Low | High |
|---|---|---|---|
| Franchise Fee | $25,000 | ||
| Construction Management/Fee | $0 | $35,000 | |
| Site Improvements | $355,902 | $574,036 | |
| Building or Leasehold Improvements | $572,151 | $922,824 | |
| Furniture, Fixtures, Equipment, & Signage | $305,365 | $492,525 | |
| Pre-Opening Expenses | $50 | $10,000 | |
| Additional Funds for three (3) months | $15,000 | $20,000 | |
| Inventory and supplies for opening | $10,000 | $15,000 | |
| Training Expenses (travel, meals & lodging only-wages excluded) | $16,000 | $55,000 | |
| Architectural, Civil Engineering & Other Professional Fees & Permits | $35,000 | $78,000 | |
| Impact and Tap Fees | $5,000 | $78,000 | |
| Grand Opening Marketing Expenses | $0 | $25,000 | |
| Extension Fee | $0 | $10,000 | |
| Total | $1,344,419 | $2,340,385 | |
Source: Steak n Shake Enterprises, Inc, 2024 filing, page 22
Steak n Shake franchise fee
The franchise fee is $25,000. You pay it when you sign the franchise agreement.
Source: Steak n Shake Enterprises, Inc, 2024 filing, page 15
Royalty and ongoing fees
| Royalty | 5% of gross receipts (a 4% royalty and system fee plus a 1% license fee), or up to 10% in markets where the company runs its own restaurants and at some non-traditional sites. |
|---|---|
| Transfer Fee | $5,000 per Restaurant |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: Steak n Shake Enterprises, Inc, 2024 filing, page 18
Other fees as filed, from page 18. The filing lists every fee, including late fees and audit costs.
Sales and earnings
Shares figures Steak n Shake publishes sales or earnings figures for its locations. The full tables, with notes on which locations are counted, are in its filing.
- Average net sales
- $1,772,941
- Median net sales
- $1,695,320
Yearly figures for fiscal 2023, covering traditional and franchise partner restaurants open at least 24 months (excludes university, convenience store, food court and airport sites) (228 locations). The average is about 1 times the midpoint of the cost to open.
Sales are what a location takes in before rent, payroll, royalties and other costs, not what its owner keeps.
Source: Steak n Shake Enterprises, Inc, 2024 filing, pages 74–75
SBA loans to Steak n Shake franchisees
Lenders approved 70 SBA-backed loans for Steak n Shake franchisees from 1992 to 2025, $71M in all: 49 7(a) loans and 21 504 loans. Of the 58 that have ended, 52 were paid in full and 6 were charged off (10.3%). The other 12 haven’t ended yet.
A charged-off loan is one written off as uncollectible. See SBA franchise loans for how 7(a) and 504 loans work.
Source: SBA 7(a) and 504 loan data, as of September 30, 2026
How Steak n Shake compares
Of the 63 burger franchises on this site, Steak n Shake is the 47th cheapest to open and the 15th largest by number of locations.
| Figure | Steak n Shake | Typical burger brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $1.34M | $556K | $222K |
| Cost to open, high end | $2.34M | $1.52M | $477K |
| Franchise fee | $25K | $35K | $40K |
| Royalty | 5% | 5% | 6% |
| Sales per location | $1.77M | $1.56M | $794K |
| US locations | 255 | 25 | 21 |
| Change in franchised locations, 0 yrs | −30.2% | −2.4% | – |
| Shares earnings figures | Yes | 44 of 63 | 2,147 of 3,352 |
Typical is the median across the 63 brands in burger franchises; typical franchise, across every brand here.
Locations opened and closed
| Year | Franchised | Company-owned |
|---|---|---|
| 2021 | 143 (−16) | 195 |
| 2022 | 131 (−12) | 173 |
| 2023 | 111 (−20) | 144 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating. Franchised counts are traditional franchised restaurants; another 181 restaurants were run by franchise partners at the end of 2023.
See which brands grew most in the fastest-growing franchises rankings.
More in the guides: burger franchise costs and franchise failure rates.
Source: Steak n Shake Enterprises, Inc, 2024 filing, page 80
Who owns Steak n Shake?
Steak n Shake franchises are sold by Steak n Shake Enterprises, Inc. It is a subsidiary of Biglari Holdings Inc.
From Steak n Shake Enterprises, Inc’s 2024 filing, page 7.
Lawsuits and bankruptcy
| Lawsuits and regulatory actions | Yes. The filing describes past or pending cases involving the franchisor, its affiliates or its executives on pages 11–15. |
|---|---|
| Bankruptcy | None. The filing says no bankruptcy has to be disclosed. |
Franchisors must disclose lawsuits and bankruptcies involving the company, its parents and affiliates, and its executives. Many cases are routine disputes with franchisees over fees or contracts; read the descriptions in the filing and ask current owners about anything that worries you.
Source: Steak n Shake Enterprises, Inc, 2024 filing, litigation on pages 11–15, bankruptcy on page 15
Steak n Shake filings
The figures on this page come from Steak n Shake Enterprises, Inc’s 2024 filing, issued March 28, 2024, on record with the Minnesota Department of Commerce.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2024 filing | March 28, 2024 | Minnesota | Costs, fees and locations, 2021–2023 |
Each link opens the filing as a PDF. See the newest filings across all brands.
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