NATHAN'S FAMOUS
Nathan's Famous Systems, Inc. franchises fast-service restaurants under the 'Nathan's Famous' brand, featuring proprietary hot dogs with a unique spice formula, crinkle-cut french fries, hamburgers, sandwiches, platters, and other quick-service menu items. Restaurants operate in various formats including traditional free-standing buildings, in-line units, food courts, kiosks, and mobile units, often with options for co-branding such as Arthur Treacher's. The business model centers on granting franchise and area development agreements to operators targeting consumers seeking affordable, quick hot dog and fast-food options in diverse locations like malls, stadiums, and urban areas.
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
5.5% royalty + 2.5% ad fund
Franchise Stats
Financial Performance
Item 19 Financial Performance
This franchise did not provide Item 19 financial performance data.
Be careful if you are interested in investing. The lack of financial performance representations may indicate limited data or varying results across franchises.
Extracted Item 19 Section
How NATHAN'S FAMOUS 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 |
|---|---|---|---|---|
NATHAN'S FAMOUS Current | $554K - $2.0M | $30K | 5.5% | 71 |
| 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 (2025)
Outlets by state across the United States
+3 more states
SBA Loan History
Historical SBA 7(a) loan data for NATHAN'S FAMOUS franchisees (2010 - 2024)
Loans by Year
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
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Due Diligence
Litigation (Item 3)
No litigation involving franchisees reported in the FDD.
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 NATHAN'S FAMOUS franchise?
The total initial investment to open a NATHAN'S FAMOUS franchise ranges from $554,350 to $2,032,610. This includes a franchise fee of $30,000. Ongoing royalty fees are 5.5% of gross sales.
How many NATHAN'S FAMOUS franchise locations are there?
As of the 2025 FDD, NATHAN'S FAMOUS has 71 franchise locations. The company has been franchising since 1968.
Can you get an SBA loan for a NATHAN'S FAMOUS franchise?
Yes, SBA loans are available for NATHAN'S FAMOUS franchises. Historical data shows 9 SBA 7(a) loans have been approved for NATHAN'S FAMOUS franchisees, with an average loan amount of $261,622. The historical default rate is 11.1%.
Is NATHAN'S FAMOUS a good franchise to buy?
Whether NATHAN'S FAMOUS is a good franchise investment depends on your personal goals, available capital, and local market conditions. We recommend reviewing the full FDD, speaking with existing franchisees listed in Item 20, and consulting with a franchise attorney before making a decision.
Interested in NATHAN'S FAMOUS?
Talk to a franchise advisor to get personalized guidance and learn if NATHAN'S FAMOUS is the right fit for you.
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