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SONIC DRIVE-IN

SONIC DRIVE-IN

Sonic Drive-In franchises quick-service drive-in restaurants offering made-to-order cheeseburgers, chicken entrees, hot dogs, onion rings, tater tots, breakfast items, specialty drinks like cherry limeades and slushes, and ice cream desserts such as SONIC Blast treats. The business model includes Traditional Drive-Ins with carhop service, Drive-Thru Only, Non-Drive-In (e.g., convenience stores), and Non-Traditional locations, plus development agreements for multiple units and multi-brand co-locations with brands like Arby’s or Dunkin’. They target frequent fast-food consumers in a highly competitive quick-service restaurant market.

Since 1974Food & BeverageAtlanta, GAInspire Brandswww.sonicdrivein.com
Item 19 AvailableSBA Loan Data

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

Investment
$1,676,000 - $3,140,900
Franchise Fee
$15,000
Locations
3,441

Financial Requirements

Franchise Fee$15,000
Initial Investment Range$1,676,000 - $3,140,900
Royalty Rate5.00%
Brand Fund0.90%
0

5% royalty + 0.9% brand fee + 3.25% (minimum) advertising cooperative fee + 0.25% technology fee.

Franchise Stats

Franchise Locations3,441
Corporate Locations20
States Operating48
Franchising Since1974
FDD Year2025

Financial Performance

Item 19 Financial Performance

Average Gross Revenue
$1,587,024
Median Gross Revenue
$1,500,713
Top Quartile Revenue
$2,398,950
Bottom Quartile Revenue
$935,705

Data Based On: Data based on 3,086 franchised Sonic Restaurants operating for the full 2024 fiscal year, excluding new openings, closures, non-traditional, multi-brand, and company-owned units.

* All revenue figures were extracted directly from the 'Average Unit Volume for 2024 Franchised Traditional Restaurants' and 'Statistics for 2024 Franchised Traditional Restaurants' tables. The document explicitly states in point (5) on page 5 that financial performance representations do not reflect costs of sales, operating expenses, net income, or profit; hence, average_net_income, average_net_profit, average_ebitda, ebitda_margin_pct, best_guess_profit_low, and best_guess_profit_high are set to null.

Extracted Item 19 Section

How SONIC DRIVE-IN Compares to Other Fast Food Franchises

Key Insights

  • Higher investment than 94% of Fast Food franchises
  • Top 10 largest franchise system in Fast Food
FranchiseInvestment RangeFranchise FeeRoyaltyLocations
SONIC DRIVE-IN
Current
$1.7M - $3.1M$15K5.0%3,441
Burger King$2.1M - $4.7M$50K4.5%19,732
MCDONALD'S$1.5M - $2.6M$45KN/A12,772
AFC$45K - $151K$6K9.5%3,572
JIMMY JOHN'S$366K - $728K$35K6.0%2,647
ARBY'S$645K - $2.5M$38K4.0%2,316
Fast Food Average
127 franchises
$605K - $1.5M$35K6.1%-

* 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

Top States by Outlet Count
1TX
888
2AR
194
3OK
191
4MO
183
5TN
166
6LA
140
7KS
131
8MS
122
9FL
97
10AZ
87
11CA
81
12SC
73
13NC
73
14NM
72
15AL
72

+32 more states

SBA Loan History

Historical SBA 7(a) loan data for SONIC DRIVE-IN franchisees (2010 - 2025)

Total Loans
97
Average Loan Amount
$1,162,942
Total Loan Volume
$112,805,400
Default Rate
1.0%

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)

Franchisee Litigation Cases1

Franchisor-initiated suit to collect unpaid fees from a franchisee.

Bankruptcy (Item 4)

Bankruptcy HistoryNo

No bankruptcy history reported in the FDD.

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
80
Non-Renewals
14
Reacquired by Franchisor
N/A
Ceased Operations (Other)
334
System Transfers
334
Sold to Franchisees
10
Projected New Franchises
23

Frequently Asked Questions

How much does it cost to open a SONIC DRIVE-IN franchise?

The total initial investment to open a SONIC DRIVE-IN franchise ranges from $1,676,000 to $3,140,900. This includes a franchise fee of $15,000. Ongoing royalty fees are 5.0% of gross sales.

How much revenue does a SONIC DRIVE-IN franchise make?

According to the 2025 FDD, the average gross revenue for a SONIC DRIVE-IN franchise is $1,587,024. The median revenue is $1,500,713.

How many SONIC DRIVE-IN franchise locations are there?

As of the 2025 FDD, SONIC DRIVE-IN has 3,441 franchise locations. The company has been franchising since 1974.

Can you get an SBA loan for a SONIC DRIVE-IN franchise?

Yes, SBA loans are available for SONIC DRIVE-IN franchises. Historical data shows 97 SBA 7(a) loans have been approved for SONIC DRIVE-IN franchisees, with an average loan amount of $1,162,942. The historical default rate is 1.0%.

Is SONIC DRIVE-IN a good franchise to buy?

SONIC DRIVE-IN shows several positive indicators: established brand with 3,441+ 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.

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