Fatburger Franchise – How to Open, Cost & Profit

Would you like to own a rapidly growing fast-casual, take-out and dine-in hamburger restaurant? That’s precisely what Fatburger offers.

A subsidiary of Fat Brands, Fatburger provides opportunities for willing and interested investors to join its profitable and growing operations that hold a lot of potentials.

Fatburger Franchise Startup Cost, Profit & Opportunities

In this article, we discuss the different aspects of ownership, especially those of Fatburger’s franchise program.

By the end, you should know what steps to take to achieve your objective. The requirements for joining at the time of writing this article are accurate.

However, the franchisor reserves exclusive rights to adjust its franchise disclosure document (FDD). So, you’ll need to double-check to ensure you’re using its most current requirements.

  • About Fatburger Franchise

As stated earlier, Fatburger is a subsidiary of FAT Brands Inc. Like Fatburger; other thriving subsidiaries include Buffalo’s Café & Express and Elevation Burger.

Others include Fazoli’s, Great American Cookies, and Hot Dog on a Stick. You also have Marble Slab Creamery, Native Grill & Wings, and Ponderosa & Bonanza.

More subsidiaries under FAT Brands Inc. include Pretzelmaker, Round Table Pizza, Twin Peaks, and Yalla Mediterranean.

Fatburger was founded in 1952 and started franchising much later in 1990. Since Fatburger launched its franchise operations, over 175 new units have been opened or are under development.

Fatburger is known for its tasty fresh ground, 100% pure lean beef products. These contain ingredients like lettuce, tomato, onion, mayo, mustard, pickles, and relish and are offered in four sizes.

These include the medium (also called original) large or kingburger, XXL (double kingburger), and XXXL (triple kingburger).

Fatburger Franchisee Support

One of the good things about owning a Fatburger franchise is the comprehensive support you get.

Such support covers vital areas of operation like training, supply chain, construction & equipment, architecture & design, and effective systematic process.

Let’s learn more about these support provisions.

i. Training

Because training is essential to running a successful franchise unit, the franchisor helps new franchisees acquire the skills needed to run its operations.

In addition to such activity, each franchisee receives a set of FAT Brands manuals containing the entire training program.

These are kept for easy reference whenever the franchisee is a bit rusty. Fatburger also organizes ongoing training programs to help franchisees improve their operations.

ii. Supply Chain

This is an essential aspect of running a Fatburger outlet. Here, guidance is provided in the purchase of food supplies as well as paper products for all its franchise outlets.

A good supply chain is maintained, and high-quality standards are maintained to ensure only the best collections make it to franchisees.

iii. Construction & Equipment

Fatburger’s restaurants need to maintain a specific design that meets set standards.

The franchisor offers guidance in the layout and design of each restaurant. Also, the equipment required for each location is outlined.

Examples include grills, refrigerators, fryers, freezers, etc.

iv. Architecture & Design

Whenever Fatburger’s franchise development team approves a franchise application, the approval is followed by the issuance of a prototype or design plan for its restaurant.

In other words, it requires franchise outlets to maintain a specific design. However, there may be modifications by an architect to fit actual site needs.

v. Effective Systematic Process

From the moment you sign the franchise agreement, Fatburger swings into action by providing its effective systematic process that allows you to get started quickly without difficulties.

Its practical, systematic approach includes equipment selection support, operational support and purchasing support, etc.

The Ideal Candidate

You’ll need to meet specific minimum requirements to be considered for this franchise offering.

Fatburger actively seeks candidates with good managerial skills, leadership skills, and the capacity to manage and direct human resources under its proven system.

What more? You must have a strong work ethic, high integrity, a customer-focused mindset, and decision-making ability. These characteristics put you ahead of other candidates, as Fatburger has a preference for persons with such.

  • Other things you must Have

Fatburger seeks candidates with a minimum net worth of $1,500,000.00 and liquidity of $500,000.

For its multi-unit offerings, Fatburger prefers franchise candidates that meet all FCCR and capital requirements. They must also have the resources to support the business with equity.

Franchise candidates must clear all credit and criminal background checks. With all of these requirements met, you’re well on your way to owning your Fatburger franchise.

Fatburger Franchise Development Models

Franchisees have a variety of options or development models to choose from.

With more options, franchisees are more likely to find franchise development models that fit their needs. Major categories include traditional models, features, alternative models, and co-branded.

Fatburger’s traditional model includes co-branded Fatburger & Buffalo’s, traditional Fatburger, and full-service Fatburger & Fat bar.

Its alternative models include kiosks, food courts, concessions, an arena, modular shipping containers, mobile & stationary food trucks, and travel centers.

Its Features option is optimized for third-party delivery, has flexible development models, and strong brand recognition.

Under its co-branded option, new and existing franchisees will choose to develop co-branded fast-casual restaurants with Buffalo’s Express Fast Casual chicken wing brand.

Fatburger Marketing Support

Due to the importance of marketing, Fatburger always commits time to provide quality marketing support to new and existing franchisees.

These are offered in various forms, including social media, graphic design, marketing collateral, menu development, kiosk ordering, customer service, and digital advertising.

The franchisor also provides a comprehensive and functional website. What more? As a Fatburger franchisee, a franchise consultant gets allocated to you.

This helps with financial analysis, restaurant operations, and promotions. The result is more robust sales and growing profits.

Fatburger Franchise Costs and Fees

Financial requirements are crucial to joining any franchise program, including Fatburger’s.

Franchise candidates are required to pay a domestic franchise fee of $50k per location. This fee will vary by region, development term, and market size for international candidates.

A royalty fee of 6% of gross sales needs to be paid in addition to contributing 2% of gross sales to the national marketing budget. 2% of the gross sales are channeled towards local marketing.

Your Fatburger franchise ownership process has gotten a lot easier. You should have no difficulty proceeding with the application with the information provided.

As stated earlier, you’ll need to be open to any changes that might be made to the franchise terms.