FATBURGER
Fatburger North America, Inc. is a franchisor of fast casual restaurants specializing in a limited menu of primarily hamburgers, turkeyburgers, and other classic American items under the 'Fatburger' and 'The Last Great Hamburger Stand' trademarks. Franchisees operate single or multiple restaurants following uniform recipes, distinctive decor, operating standards, and quality controls, with options for co-branding. The business targets the general public in urban and suburban settings with 800-2,500 square foot locations.
Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.
Overview
Financial Requirements
6% royalty + 3% ad fund + $70-125/mo technology fee
Franchise Stats
Financial Performance
Item 19 Financial Performance
Data Based On: 66 U.S. franchised restaurants (including both Fatburger only and co-branded operations) that were open for the full 2024 calendar year, as presented in the 'Selected Financial & Operating Data for All Fatburger Restaurants' tables.
* Average gross revenue and median gross revenue are directly from 'Table 1 - Net Sales' for 'All Fatburger Restaurants' (66 units) on page 2. Revenue top quartile is estimated as the average of the minimum and maximum values for the 'Over $1,500,000' range (15 units) from 'Table 2 - Range of Net Sales' on page 2: ($1,526,964 + $3,198,617) / 2 = $2,362,790.5. Revenue bottom quartile is estimated as the average of the minimum and maximum values for the 'Under $499,999' range (10 units) from 'Table 2 - Range of Net Sales' on page 2: ($305,445 + $499,807) / 2 = $402,626. The document explicitly states on page 6 that the provided financial information 'omits all operating costs and expenses related to operation of a restaurant except food, paper and store level labor,' which prevents the accurate calculation of net income, net profit, or EBITDA from the available data. Therefore, profit estimates are not provided.
Extracted Item 19 Section
How FATBURGER Compares to Other Fast Food Franchises
Key Insights
- Lower than average SBA loan default rate in Fast Food
| Franchise | Investment Range | Franchise Fee | Royalty | Locations |
|---|---|---|---|---|
FATBURGER Current | $517K - $2.7M | $50K | 6.0% | 177 |
| Burger King | $2.1M - $4.7M | $50K | 4.5% | 19,732 |
| MCDONALD'S | $1.5M - $2.6M | $45K | N/A | 12,772 |
| AFC | $45K - $151K | $6K | 9.5% | 3,572 |
| SONIC DRIVE-IN | $1.7M - $3.1M | $15K | 5.0% | 3,441 |
| JIMMY JOHN'S | $366K - $728K | $35K | 6.0% | 2,647 |
Fast Food Average 127 franchises | $605K - $1.5M | $35K | 6.1% | - |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 127 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
+1 more states
SBA Loan History
Historical SBA 7(a) loan data for FATBURGER franchisees (2010 - 2025)
Loans by Year
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
Unlock Franchisee Contact Database
94 franchisee contacts on file. Upgrade to see names, locations, phone numbers, and matched SBA loan data.
Upgrade to Pro$199/year · Cancel anytime
Due Diligence
Litigation (Item 3)
Primarily disputes involving franchise agreement rescission due to registration issues, fraud in inducement, unlawful franchise sales, and breach of contract.
Bankruptcy (Item 4)
No bankruptcy history reported in the FDD.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
How much does it cost to open a FATBURGER franchise?
The total initial investment to open a FATBURGER franchise ranges from $517,300 to $2,656,900. This includes a franchise fee of $50,000. Ongoing royalty fees are 6.0% of gross sales.
How much revenue does a FATBURGER franchise make?
According to the 2025 FDD, the average gross revenue for a FATBURGER franchise is $1,144,270. The median revenue is $1,077,512.
How many FATBURGER franchise locations are there?
As of the 2025 FDD, FATBURGER has 177 franchise locations.
Can you get an SBA loan for a FATBURGER franchise?
Yes, SBA loans are available for FATBURGER franchises. Historical data shows 25 SBA 7(a) loans have been approved for FATBURGER franchisees, with an average loan amount of $458,304. The historical default rate is 8.0%.
Is FATBURGER a good franchise to buy?
FATBURGER shows several positive indicators: established brand with 177+ locations, transparent financial performance data (Item 19), low SBA loan default rate. However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.
Interested in FATBURGER?
Talk to a franchise advisor to get personalized guidance and learn if FATBURGER is the right fit for you.
Talk to an Advisor