Burger King

Burger King

Burger King Company LLC operates and franchises quick-service restaurants specializing in hamburgers, offering a limited menu of breakfast, lunch, and dinner products under the proprietary BURGER KING® System, which includes specific trademarks, designs, equipment, color schemes, operational standards, and procedures. The business model grants franchises to individuals or entities for developing and operating new or existing BURGER KING® Restaurants, often via Target Reservation Agreements, Multiple Target Reservation Agreements, or Development Agreements committing to multiple units. The target market encompasses the general population, with the highest patronage frequency from ages 18-54, in a highly competitive quick-service restaurant industry influenced by tastes, economics, and traffic patterns.

19,732
Locations
$2064K–$4731K
Investment
Since 1954
Franchising
Food & BeverageMiami, FLRestaurant Brands International Inc.www.bk.comDisclaimer

Franchise Costs


Franchise Fee
$50,000
Item 5 of FDD
Initial Investment Range
$2,064,200 $4,730,500
Low: $2,064,200High: $4,730,500
Item 7 of FDD
Royalty Rate
4.50%
of gross sales
Brand Fund
4.50%
Item 6 of FDD
Fixed Monthly Fees
$313 – $950
Item 6 of FDD

4.5% royalty + 4.5% ad fund + $500/mo building improvement (certain BKLs) + $200-300/mo static menu board + $60-100/mo service desk + $50/mo BK University.

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$0
Median Gross Revenue
$0

Data Based On: Sales information for 5,515 franchisee-owned and 1,097 company-owned Traditional and Non-Traditional Restaurants, open and operating for the entire 12-month period ended December 31, 2024, as disclosed in Section A.

* Calculated weighted average gross revenue using data from Page 3, combining 'Traditional Franchisee-Owned' and 'Non-Traditional Franchisee-Owned' categories: (4,774 Traditional Franchisee-Owned units × $1,658,463 average sales + 741 Non-Traditional Franchisee-Owned units × $1,321,324 average sales) / (4,774 + 741 total units) = $1,613,164.72, rounded to $1,613,165. Median gross revenue is taken from the 'Traditional Franchisee-Owned' category ($1,561,502) as it represents the largest segment of franchisee units (4,774 units out of 5,515 total franchisee units included in the calculation) and an overall consolidated median was not provided. No net income, net profit, EBITDA, or expense data was provided for profit estimation, as explicitly stated on Page 1.

Extracted Item 19 Section

How Burger King Compares


FranchiseInvestmentFeeRoyaltyLocations
Burger King
Current
$2.1M – $4.7M$50K4.5%19,732
MCDONALD'S$1.5M – $2.6M$45KN/A12,772
AFC$45K – $151K$6K9.5%3,572
SONIC DRIVE-IN$1.7M – $3.1M$15K5.0%3,441
JIMMY JOHN'S$366K – $728K$35K6.0%2,647
ARBY'S$645K – $2.5M$38K4.0%2,316
Fast Food Average
126 franchises
$594K – $1.5M$35K6.1%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 126 Fast Food franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2024)

Outlets by state across the United States

Top States
1TX
575
2CA
482
3FL
408
4GA
267
5IL
253
6NY
230
7PA
208
8MI
189
9OH
176
10AZ
171
11NJ
157
12LA
127
13MA
117
14WA
114
15WI
112

+36 more states

SBA Loan History


Historical SBA 7(a) loan data for Burger King franchisees (20102025)

Total Loans
131
Average Loan
$1,010,107
Total Volume
$132.3M
Default Rate
2.3%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

Franchisee Contacts


6,147 franchisee contacts on file from official FDD filings.

NameSBA Loan
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active
John Smith
ABC Franchise LLC
$350,000
2023 · Active

6,147 Contacts Available

Unlock all Burger King franchisee contacts with verified contact information

Due Diligence


Litigation (Item 3)

Franchisee Cases9

Primarily disputes involving unpaid royalties and advertising contributions, franchise agreement terminations, ad fund mismanagement, wrongful termination claims, lease/insurance obligations, pricing restrictions, and development agreement breaches.

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
N/A
Non-Renewals
N/A
Reacquired
N/A
Ceased Ops
N/A
Transfers
N/A
Sold to Franchisees
N/A
Projected New
N/A

Frequently Asked Questions


The total initial investment to open a Burger King franchise ranges from $2,064,200 to $4,730,500. This includes a franchise fee of $50,000. Ongoing royalty fees are 4.5% of gross sales.

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