The WING-STOP franchise requires a total investment of $298K – $1.01M with a 6.0% royalty fee and operates 2,154 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 WING-STOP.
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 |
|---|---|---|
| Franchise Fee | $25,000 | $25,000 |
| Franchise Fee | $25,000 | $25,000 |
| Real Estate | $0 | $0 |
| Real Estate | $0 | $10,000 |
| Other | $7,300 | $30,000 |
| Legal Accounting | $2,500 | $7,500 |
| Buildout | $100,000 | $565,000 |
| Other | $4,500 | $8,500 |
| Other | $11,300 | $39,400 |
| Equipment | $50,400 | $167,000 |
| Technology | $28,000 | $40,000 |
| Signage | $4,200 | $25,100 |
| Inventory | $10,000 | $16,000 |
| Other | $5,000 | $15,000 |
| Working Capital | $25,000 | $40,000 |
| Total | $298,200 | $1,013,500 |
Ongoing fees as disclosed in the FDD.
| Fee Type | Rate | Type | Basis | Frequency |
|---|---|---|---|---|
| Royalties | 6.0% | PCT | Gross Sales | weekly |
| Ad Fund | 5.5% | PCT | Gross Sales | weekly |
| Ad Customization Fee | N/A | VARIABLE | Customized advertising materials | one_time |
Financial performance data as disclosed in FDD Item 19.
| Metric | Value | Unit | Cohort | Period |
|---|---|---|---|---|
| Average Annual Net Sales - All Restaurants | $2,138,111 | USD | All Units | Dec 31, 2023 - Dec 28, 2024 |
| Median Annual Net Sales - All Restaurants | $2,011,985 | USD | All Units | Dec 31, 2023 - Dec 28, 2024 |
| Highest Annual Net Sales - All Restaurants | $5,688,594 | USD | All Units | Dec 31, 2023 - Dec 28, 2024 |
| Lowest Annual Net Sales - All Restaurants | $541,660 | USD | All Units | Dec 31, 2023 - Dec 28, 2024 |
| Average Annual Net Sales - Franchised Restaurants | $2,128,349 | USD | Franchised Units Only | Dec 31, 2023 - Dec 28, 2024 |
| Median Annual Net Sales - Franchised Restaurants | $2,001,753 | USD | Franchised Units Only | Dec 31, 2023 - Dec 28, 2024 |
| Highest Annual Net Sales - Franchised Restaurants | $5,688,594 | USD | Franchised Units Only | Dec 31, 2023 - Dec 28, 2024 |
| Lowest Annual Net Sales - Franchised Restaurants | $541,660 | USD | Franchised Units Only | Dec 31, 2023 - Dec 28, 2024 |
| Average Annual Net Sales - WRI-Owned Restaurants | $2,519,698 | USD | Company-Owned Units | Dec 31, 2023 - Dec 28, 2024 |
| Median Annual Net Sales - WRI-Owned Restaurants | $2,477,746 | USD | Company-Owned Units | Dec 31, 2023 - Dec 28, 2024 |
| Highest Annual Net Sales - WRI-Owned Restaurants | $4,274,127 | USD | Company-Owned Units | Dec 31, 2023 - Dec 28, 2024 |
| Lowest Annual Net Sales - WRI-Owned Restaurants | $730,101 | USD | Company-Owned Units | Dec 31, 2023 - Dec 28, 2024 |
Estimated using industry benchmarks for the QSR category. Actual costs vary significantly by location, operator, and market.
| Line Item | Amount | % of Revenue |
|---|---|---|
| Gross Revenue | $2,477,746 | 100% |
| COGS | $-743,324 | 30% |
| Labor | $-693,769 | 28% |
| Occupancy | $-247,775 | 10% |
| Marketing | $-99,110 | 4% |
| Other Costs | $-198,220 | 8% |
| Royalty Fee (franchisor) | $-148,665 | 6.0% |
| Ad Fund Fee (franchisor) | $-136,276 | 5.5% |
| Owner's Profit | $210,608 | 8.5% |
Model your personal financial scenario by adjusting the assumptions below.
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 | 1498 | +187 | -4 | 117 | 1678 | 0.3% | +180 |
| 2023 | 1678 | +203 | -1 | 132 | 1877 | 0.1% | +199 |
| 2024 | 1877 | +281 | -- | 90 | 2154 | -- | +277 |
How WING-STOP 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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