The Burger King franchise operates 6,701 units in the QSR category. This report analyzes the full Franchise Disclosure Document including unit economics, fee structure, growth trends, and risk indicators to help you evaluate the cost of investing in Burger King.
Critical issues identified from FDD analysis that warrant serious consideration before investing.
Composite quality score based on growth, stability, efficiency, fees, transparency, and system size.
Estimated initial investment range as disclosed in the most recent FDD.
| Line Item | Low Estimate | High Estimate |
|---|---|---|
| Other | $0 | $0 |
Ongoing fees as disclosed in the FDD.
| Fee Type | Rate | Type | Basis | Frequency |
|---|---|---|---|---|
| Training Fees | $7,500 | FIXED | Per Trainee | one_time |
| Shortfall Restaurant Initial Franchise Fee | N/A | VARIABLE | Per Shortfall Restaurant under Development Agreement | one_time |
Financial performance data as disclosed in FDD Item 19.
| Metric | Value | Unit | Cohort | Period |
|---|---|---|---|---|
| Total franchisee-owned Restaurants as of December 31, 2024 | 6701.0 | COUNT | All Units | As of December 31, 2024 |
| Total company-owned Restaurants as of December 31, 2024 | 1177.0 | COUNT | All Units | As of December 31, 2024 |
| Franchisee-owned Restaurants open entire 12-month period | 5527.0 | COUNT | Units Open Entire Period | 12-month period ended December 31, 2024 |
| Company-owned Restaurants open entire 12-month period | 1174.0 | COUNT | Units Open Entire Period | 12-month period ended December 31, 2024 |
Automated risk indicators based on FDD data analysis.
Franchise unit trajectory based on FDD Item 20 data.
| Year | Start | Opened | Closed | Transferred | End | Closure Rate | Net Growth |
|---|---|---|---|---|---|---|---|
| 2022 | 7053 | -- | -- | -- | 6992 | -- | -61 |
| 2023 | 6992 | -- | -- | -- | 6640 | -- | -352 |
| 2024 | 6640 | -- | -- | -- | 5524 | -- | -1116 |
How Burger King compares to peer brands in the QSR category.
Ratio = Investment midpoint ÷ median annual revenue. Lower is better. A 0.5x ratio means the initial investment equals half of one year's gross revenue. Does not account for operating costs, margins, or time value of money.
| Brand | Total Units | Investment Range | Median Revenue | Royalty | Inv/Rev Ratio |
|---|---|---|---|---|---|
| Subway | 19502 | $3K – $630K | No Item 19 | -- | -- |
| McDonald's | 12772 | $1.47M – $2.64M | No Item 19 | 5.0% | -- |
| Dunkin' | 8499 | $527K – $1.83M | $1.43M | -- | 0.8x |
| Domino's Pizza | 7043 | -- | $24K | 5.5% | -- |
| Burger King | 6701 | -- | No Item 19 | -- | -- |
| Wendy's | 5552 | $393K – $2.99M | $2.23M | 4.0% | 0.8x |
| Little Caesars | 3705 | $446K – $1.82M | No Item 19 | 6.0% | -- |
| KFC | 3558 | $135K – $3.77M | $1.27M | 5.0% | 1.5x |
| Papa John's | 3291 | $261K – $853K | No Item 19 | 5.0% | -- |
| Popeyes Louisiana Kitchen | 3177 | $505K – $3.92M | No Item 19 | 5.0% | -- |
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