Being the second-largest hamburger chain in the US, Burger King franchise boasts 14,000 stores in 100 countries. It specializes in burgers, salads, chicken, veggies, and desserts. Burger King restaurant franchise continues to provide nice opportunities around the globe trying to enter new markets and expand in the countries where they have gained popularity. Buying a Burger King franchise has a lot of pros. The main one is a good franchise cost and profit balance. The second one is a guide from the franchisor on how to open a Burger King franchise with a detailed investment information. And yet another one is a range of franchise formats for sale with reasonable franchise fees and requirements.
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Burger King has the total initial investment from $323,100.
Initial investments: $323,100 - $3,076,600
|Name of Fee||Low||High|
|Travel and Living Expenses while Training||$0||$25,000|
|Real Property/ Occupancy Charge||$90,000||$850,000|
|Civil & Architectural Drawings / Professional Fees||$10,000||$45,000|
|Improvements / Construction||$25,000||$950,000|
|Signage & Drive-Thru||$3,000||$166,000|
|Cash and Inventory Control System||$35,000||$60,000|
|Working Capital / Additional Funds||$15,000||$90,000|
|Business Licenses, Utility Deposits, Lease Deposits, and Payments||$6,000||$30,000|
|2-Story Interior Playground||N/A||$245,000|
* The estimated initial investment range covers from an indoor MRS facility restaurant type with 0-20 seats up to a ROC 2502 restaurant type with 72-80 seats and full size co-branded facility with 20/20 image (50-80 seats).
Royalty: 4.5% of monthly gross sales
Advertising: 4% of monthly gross sales
Building Improvement Payments (certain BKLs only): $500 per month
Late charges/ Interest/ Stamp tax: lesser of 18% per annum or maximum rate allowed by Florida law
New Franchisee Training Fee: $2,500
We provide estimated franchise costs for some countries:
- In the United States, the total investment to start the Burger King Restaurant is around $323,100 to $3,076,600.
- In Indian currency, the investment comes around Rs 229.4 lakhs to Rs 21.8 crores.
- In Indonesian currency, the investment comes around Rp 4,576 million to Rp 43,577 million.
- In Philippine currency, the investment comes around Php 16,713,963 to Php 159,152,518.
- In Pakistani currency, the investment comes around PKR 50,613,615 to PKR 481,949,390.
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Other fees for Burger King Franchise
|Type of Fee||Amount|
|Royalty||4.5% of monthly gross sales.|
|Advertising||4% of monthly gross sales.|
|Rent (where property leased from he franchisor)||Varies.|
|Building Improvement Payments (certain BKLs only)||$500 per month.|
|Late charges/ Interest/ Stamp tax||Lesser of 18% per annum or maximum rate allowed by Florida law.|
|Transfer of Interests||$2,000|
|Application Fee||$250 - $5,000|
|New Franchisee Training Fee||$2,500|
|Entity or LLC Fees||Up to $5,000 per Entity; plus up to $1,000 per restaurant transferred to Entity or LLC.|
|Franchise Extension Fee||$2,500 annually.|
|Investment Spending (marketing)||Collectively agreed upon amount.|
|Sales Transfer Study||$5,000 - $8,000 Per Restaurant|
|Sales Impact Contribution||Varies.|
|Gift Card Services||Varies.|
|BK GURU / Daily Planner Subscription Fee||$560 annually|
|Digital Fee||$25 per screen per month|
|Miscellaneous Reimbursements, Purchases, Services||Varies.|
|Follow Up Walk-Thru||$1,500|
|One Time Cure Fee||Varies depending upon whether franchisee is under the TRA or the MTRA.|
|Site Re-approval Fee||$5,000|
|Remodel Default Payments||Monthly amount equal to $4,000 multiplied by the number of Restaurant remodels that the franchisee fails to timely complete in connection with the purchase from the franchisor of those franchisor-owned Restaurants|
|Deferred Remodel Default Payments||Royalty rate increases to 6% if franchisee fails to complete the remodel to the franchisor’s specifications by the date specified in the addendum to the Franchise Agreement. Royalty increases to 6% from the remodel due date until the date the franchisor confirms that the remodel meeting specifications is complete.|
|Audit Expenses||Will vary under circumstances.|
|Indemnity||Will vary under circumstances.|
|Costs and Attorneys' Fees||Will vary under circumstances.|
|Background Check Fee||$3,800 - $8,000|
|BK McLamore Foundation Scholarship||$1,000 per restaurant per year.|