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What's the Average Unit Volume (AUV) of Jack in the Box?

What's the Average Unit Volume (AUV) of Jack in the Box?
What's the Average Unit Volume (AUV) of Jack in the Box?
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Are you searching for information on the average unit volume (AUV) of Jack in the Box?

At Jack in the Box, questions about our AUV are some of the most common we receive from potential franchisees.

In this article, we will take an in-depth look at the most recent Jack in the Box AUV numbers.

What Does Average Unit Volume Mean?

Average unit volume is derived from the total sales of company-owned or franchised stores divided by the number of company-owned or franchised units.

When you look at Item 19 of the brand’s Franchise Disclosure Document (FDD) you will typically find a chart with previous sales numbers and text that tells you where the data comes from.

Based upon Federal Trade Commission guidelines, all franchisors are precluded from providing earnings estimates or profit potential to franchisees.

However, you can get an idea of how much money each franchise location makes by referencing the average unit volume of the brand you’re interested in.

It’s important to understand every brand calculates their AUV differently. Be sure to check the footnotes underneath the Item 19 Table being referenced in the FDD for more information.

Jack in the Box AUV

The average unit volume (AUV) of Jack in the Box is $1,996,940 as outlined in Item 19 of our Franchise Disclosure Document.

This number comes from Table 1 and includes historical gross sales at franchised restaurants in the continental USA for the 12-month period between September 30, 2021 and September 30, 2022.

The term “gross sales” means all revenue from the sale of all products and services including delivery and catering services as well as from vending machines and similar sources of revenue.

It also includes other income of every kind and nature related to the Restaurant including proceeds from stored value gift cards when redeemed but not when purchased, business interruption insurance, and revenue from off-site events. Certain amounts are excluded from Gross Sales.

The gross sales for each restaurant will depend on a wide range of factors, but the AUV from Item 19 gives you an idea of what to expect.

How Much Does a Jack in the Box Franchise Cost?

The estimated initial investment for a Jack in the Box Franchise is $1,810,600 - $4,207,500 excluding land, financing, and certain other costs. We provide a breakdown of this number in our Item 7 found in our Franchise Disclosure Document.

Your initial investment includes virtually everything it takes to start a new restaurant:

  • One-time initial franchise fee, up to $50k
  • Building improvements, up to $785k
  • Initial inventory, up to $20k
  • Three months of operating funds

These initial investment figures are based on Company-developed restaurant costs to open MK9 and MK10 prototypical buildings in fiscal years 2017 to 2019.

The cost of land will vary widely, depending upon size and location of the property and whether you purchase/own the land or enter into a lease arrangement.

Does Jack in the Box Have Royalty Fees?

Like most franchises, you’ll notice Jack in the Box has ongoing royalty fees. Our royalties at Jack in the Box are:

  • 5% Royalty of Gross Sales
  • 5% Marketing Fee of Gross Sales

These royalties ensure you have the best possible resources to run your business and bring customers to your location.

Jack in the Box Franchise Requirements

Due to the cost of opening a restaurant with Jack in the Box, we have three minimum financial requirements all our potential franchisees must meet.

  • Minimum Liquidity: $500,000
  • Minimum Net Worth: $1.5MM
  • Franchise Fee: $50k per Location

If you’re unable to meet these requirements, there are many potential sources of liquidity that may be overlooked. For example:

  • Business Partners
  • Local Banks & Credit Unions
  • Stocks & Bonds
  • 401k Rollovers

These are just a few of the options you may like to consider to meet our financial requirements.

Check Out These Additional Resources

We hope this article gave you a better understanding of the Jack in the Box average unit volume.

At Jack in the Box, we work with our franchisees every step of the way in order to get their restaurants up and running.

Here are some additional online resources you may like to check out:

If you have any questions, please contact our franchise sales and support team.

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