How Much Does a Burger Franchise Cost?

Are you interested in learning how much a burger franchise costs? If so, you’re not alone.

At Jack in the Box, questions about costs, fees, and royalties are some of the most common we receive.

In this article, we will go over how much it costs to start a burger franchise.

Franchise Fees

One of the first costs you’ll have to pay in order to start a burger franchise is the initial franchise fee.

This fee is required for each restaurant you plan to build and it’s due when you sign the Franchise Agreement.

At Jack in the Box, our franchise fee is $50,000 per location plus any taxes or fees related to the collection or processing of your payment.

These fees are nonrefundable and will vary based on the brand of burger franchise you’re interested in.

Ongoing Royalties

Most burger franchises will have ongoing royalty fees all their franchisees must pay on a regular basis.

For example, Jack in the Box charges an ongoing 5% royalty and a 5% marketing royalty.

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

What Do I Get for My Franchise Fees & Royalties?

When you pay these ongoing royalties and franchise fees, you might wonder, “Where does the money go and what do I get?”

Here are some of the things your payments to Jack in the Box get you:

• Use of the Jack in the Box® brand name, systems, logo, and store design.
• A comprehensive JIB Management Training Program designed to prepare you for daily operation of your restaurant.
• Site selection support.
• Construction & design support. Conceptual floor plans and site plans are provided. These must be sealed by an approved architect before submitting them to local government entities.
• Franchise development support and a step-by-step guide through the process of new-store layout, ordering of equipment, furniture, and fixtures.
• Support and training assistance in pre-opening and opening.
• Ongoing support from: JIB Franchise Business Consultants, the JIB Culinary & Innovation Team, and R&D. Plus, purchasing, distribution, and marketing support for local store.

You can learn more about where your fees and royalties go by asking your franchise business consultant.

How Much Does a Burger Franchise Cost?

The final number for your total burger franchise costs will vary based on a wide variety of factors.

One of the best ways to figure out how much money you’ll need is to research the estimated initial investment for each brand.

The estimated initial investment for a Jack in the Box Franchise is $1,910,500 - $4,032,100 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 franchised and Company restaurant development costs to open MK12 prototypical buildings in fiscal years 2023 to 2024.

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.

Multi-Unit Franchise Incentives

You might be able to lower your overall burger franchise costs by asking if multi-unit franchise incentives are available.

Jack in the Box offers an incentive for multi-unit franchisees who choose to sign up for three or more stores under our Development Incentive Program.

More details about this program can be found in our Franchise Disclosure Document.

Check Out These Additional Resources

We hope this article gave you a better understanding of how much a burger franchise costs.

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:

• Jack in the Box vs McDonald’s: Which Franchise Is Best?
• 15 Best Burger Franchises to Own From This Year
• What Are the Jack in the Box Franchise Requirements?

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