Are you interested in learning more about the Jack in the Box franchise requirements?
At Jack in the Box, our potential franchisees must meet a variety of requirements to begin their journey to franchise ownership.
In this article, we will go over the financial, real estate, and preferred site criteria requirements we have at Jack in the Box.
Jack in the Box Financial 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: $1.0MM
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:
Stocks & Bonds
These are just a few of the options you may like to consider in order to meet our financial requirements.
Jack in the Box Franchise Royalties
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.
How Much Does a Jack in the Box Franchise Cost?
The estimated initial investment for a Jack in the Box Franchise is $1,697,000 - $2,694,600 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.