Burger King is an industry leader with 34,248 employees and an annual revenue of $2.3B that is headquartered in Miami, FL. Burger King Corporation was founded in 1954 in Florida and is based in Miami. The estimated total investment needed for beginning operation is between $1,877,600 and $3,398,600. Or if you are disabled or on social security of some kind and legally can only work a limited amount of hours. Along with this, the restaurant must operate only for the hours that have been provided in the franchise agreement. Greater Los Angeles Area. If you want to work at Burger King, you can expect to perform a variety of duties. A 4.5% royalty on monthly gross sales is paid to the company, in addition to a 4% advertising fee. Carrols Corporation is headquartered in Syracuse, New York. According to a McKinsey study, the average fast-food franchise makes a gross profit of more than 20 percent on revenues of $2.5 million per year. Mickey Mouse & Friends $70.587 billion. But total operating expenses amounted very close to this number, at $1,543,388,000. The numbers don't lie: 67 percent of all franchisors who launch don't sell a single franchise in their first two years. Annually updated and regularly verified data to get your sales agents in touch with the real decision making owners and operators of Burger King fast food restaurants in the United States. Let's look at other industries to compare, and well show you a couple of industries that can make as much or more as the top food franchises with one tenth of the cost. Over the last three years the company has seen significant growth, with the exception of 2020, the year the pandemic began. You can see why most franchises prefer that buyers don't know their earnings! What are the advantages and disadvantages of EPC contracts? Burger King is a popular franchise opportunity that has been around since Whoppers were first served in 1954. Additional pay could include bonus, stock, commission, profit sharing or tips. How many hours a week does a franchise owner work? The estimated total pay for a Owner at Burger King is $81,537 per year. The estimated total pay for a Franchise Business Leader at Burger King is $120,266 per year. Here are some companies in the same or similar industry as Burger King Franchise. Our suggestion is that you do not open a Burger King franchise if you are looking to make profit in the short term unless you own the real estate. Boston A Burger King franchisee with 43 stores in Massachusetts has agreed to pay a $250,000 penalty and has come into compliance with state law . This means that, Franchise Disclosure Document (FDD) Database, Travel and Living Expenses While Training, Business Licenses, Utility Deposits, Lease Deposits and Payments, #/% Meeting or Exceeding Mean Average Sales, Basic and diluted net income (loss) per share, Weighted average common shares outstanding, Adjustments to reconcile net income to net cash provided by operating activities, Loss (gain) on disposals of property and equipment, Amortization of bond premium and discount on debt, Amortization of deferred gains from sale-leaseback transactons, Changes in other operating assets and liabilities, Accrued payroll, related taxes and benefits, Changes in operating right of use assets and operating lease liabilities, net, Net cash provided by operating activities, Corporate and restaurant information systems, Acquisition of restaurants, net of cash acquired, Proceeds from sale-leaseback transactions, Proceeds from issuance of Term Loan B and B-1 Facilities, Repayments of Term Loan B and B-1 Facilities, Retirement of 8% Senior Secured Second Lien Notes, Borrowings under prior revolving credit facility, Repayments under prior revolving credit facility, Borrowings under revolving credit facility, Repayments under revolving credit facility, Proceeds from lease financing obligations, Costs associated with financing long-term debt, Net cash provided by financing activities, Net increase (decrease) in cash and cash equivalents, Cash and cash equivalents, beginning of period, Interest paid on lease financing obligations, Non-cash reduction of lease financing obligations, Dividend declared on common shares ($1.80 per share), Dividend equivalents declared on restricted stock units, Distributions declared by Partnership on partnership exchangeable units ($1.80 per unit), Repurchase of Partnership exchangeable units, Exchange of Partnership exchangeable units for RBI common shares, Dividens declared on common shares ($2.00 per share), Distributions declared by Partnership on Partnership exchangeable units ($2.00 per units), Dividens declared on common shares ($2.08 per share), Distributions declared by Partnership on Partnership exchangeable units ($2.08 per units), Restaurant VIE contributions (distributions). Behind the most successful ventures in the world are people and organizations skilled in deploying and growing money. $250 per individual applicant. You should look at the Burger king franchise owners list and talk to or meet them. Investment is between $150-$200k including your working capital. 40. Franchise royalties range from 4% of your revenue all the way up to 12% or more. Firstly people don't know how much franchises make! The salary paid can be different for the same position in Burger King Franchise based on experience, skills, and education. It is an indirect subsidiary of Burger King Worldwide, located in Delaware. Plenty of resources and support available for a franchise, Change in preference and consumer taste affects the volume of sales. The easiest way to build your savings is to start early. Expect to invest between $316,100 - $2,660,600 to open the doors to this burger chain. We've been in the burger business for over 55 years so we know a little bit about success. We have covered this industry before. Gross revenue for an average mature staffing office almost$6,500,000 annually and we have seen single locations over $20,000,000. Ultimate Guide to Franchising . McDonald's. At the same time, comparable restaurant sales for Burger King increased by 14.7%, in contrast to the 5.7% decrease experienced in last years first quarter. Burger King Franchise Cost /Initial Investment/ Burger King Franchise. In addition to the initial franchisor fee, Burger King franchisees are charged a 4.5% royalty fee on gross sales and a 4% advertising fund fee on gross sales. We provide estimated franchise costs for some countries: - In the United States, the total investment to start the Burger King Restaurant is around $323,100 to $3,076,600. The second requirement is about the location of the restaurant. But we can obtain data from the QSR50 and we see that an average Subway location grosses just over $400k. Business Consulting. Most brands look for minimal liquidity of $100k to $300k, and net worth between $200k to 1m. The average salary of Burger King Franchise is $4,061,874 in the United States. A 4.5% royalty on monthly gross sales is paid to the company, in addition to a 4% advertising fee. . His widow sold the company to two Burger King franchisees in 1985 and soon Whopper Burger was acquired by Burger King. If the franchisee stays in compliance with the Franchise Agreement, there tends to exist an option to get a Successor Franchise Agreement for a period of 20 years. Get a Weekly Dose of the Latest Franchise Opportunities Delivered Straight to Your Inbox. Competitors of Burger King include other franchises in the fast-food industry such asMcDonalds,Subway,KFC, and other Burger Kings nearby. Average McDonald's Owner yearly pay in the United States is approximately $300,000, which is 377% above the national average. McDonald's. . New York. in a single year which is a great indication of growth. By now, you must be aware that getting a franchise can be a costly and lucrative endeavor. Again, some locations lose money, some are earning far in excess of this number. San Francisco Burger King Franchise Owners Fined $2.2 Million Dollars in Wage Theft Case More than 200 workers won a massive settlement against two franchise owners by Paolo Bicchieri Jan 12, 2023 . A master cleaning franchise will have an investment range of between $240k and $400k. How much you achieve will be determined by the type of franchise you have. Is owning a fast food franchise profitable? Our greatest asset is our people. Note that is almost 3 times higher than the highest earning McDonald's location, which is a 2.6 million dollar investment. 48. The predecessor to Burger King was founded in 1953 in Jacksonville, Florida, as Insta-Burger King. Moreover, on average, you will be able to make a profit by selling your franchise iif you own multiple locations, as the median multiple for stores selling more than $5 million is .86. Compared to 2018s $674 million, Burger King saw an increase of 15% in a single year which is a great indication of growth. A person can avail of an endless supply of fries and burgers with a Burger King Crown Card. The Burger King is owned by James W. McLamore and David Edgerly. At the same time, a cook stands to make $12.13, a restaurant staff member earns $13.59, and a shift manager $13.42 per hour. After researchers combed through the findings, they found some outliers had skewed the data. Stop buying things you don't need. The "Most Likely Range" represents values that exist within the 25th and 75th percentile of all pay data available for this role. [] The single highest earning franchise in the entire McDonald's system in 2019 that was open for at least one year grossed, The single highest grossing franchise in the cleaning space generates 1.3 million per year, the top 1/3 franchisees are at 1.9 million. How much does it cost to open a Burger King? A hearing was then held last spring, where the workers and Gold Gate owners testified. as well as other partner offers and accept our. What is the fastest growing franchise in the world? Burger King was promoted several times by Sarah Michelle Gellar as a kid. In 2020, Carrols lost a lot of their franchises, decreasing from 1,036 restaurants at the beginning of Q1 to 1,028 at the end for a net loss of 8 restaurants in just one quarter. Additionally, some people argue that the franchise cost is too high and that the profit margins are not as high as they could be. Compared to other burger restaurant franchises, Five Guys is less expensive to open than alternatives like Burger King that require a net worth of $1.5 million to even be considered. Youre about to cancel your subscription. Entity or LLC Fees. The average salary of Burger King Franchise jobs will vary according to location, department, and job description. Because of the good brand value of the food chain, a person is less likely to face any loss. But more importantly,not everyone has the skills or background to successfully operate a senior care or staffing franchise. If you would like to learn more about our service (free to qualified buyers) click the button above. Start Saving Early. The initial franchise term for a freestanding restaurant is for a period of 20 years and might be less in a situation where the control over property is for a shorter duration or a non-traditional location. 41. ASSISTANT MANAGER. Appeals to customer nostalgia. Buying a Mcdonald's will cost you between $1,263,000 to $2,235,000 not including your real estate. Franchise Fee. With senior care, staffing and service-based businesses in general the owner is driving that business forward and they need to have specific skills in order to succeed. Burger King Corporation is continuously looking for multi-unit operators that are committed to providing an excellent guest experience. After five years in the business, when you go to sell your franchise based on the median multiple of .34 and net sales average from 2019 of, . Answer (1 of 5): If you are in the US, there will be information in the Uniform Offering Circular (UFOC) regarding average unit volumes. What are Burger King franchise owners reviews? It is also very difficult to get a Chick-fil-A restaurant . Therefore, selling your multi-unit franchise would amount to $11,618,600. Over the last three years the company has seen significant growth, with the exception of 2020, the year the pandemic began. In order to make money from the franchise, the company requires a high level of operational efficiency from the restaurants. We will look at both gross and net revenues. According to our data, the highest paying job at Burger King is an Independent Executive Consultant at $180,000 annually while the lowest paying job at Burger King is a Food Handler at $11,000 annually. Full-Time. As of 2022, Burger King's average hourly wage is $9.86. Before anything, you must determine what your services will include. Liquid asset requirement: $150,000. The majority of franchise owners earn less than $50,000 per year. At the same time, Carrols Restaurant Group is a publicly-traded company, meaning that it is listed on the stock market under the ticker symbol $TAST. The opportunity at Burger King is a great one for those who are looking for a quick and easy business opportunity. . First, the cost of a Burger King franchises can vary a lot depending on the location. 42. The franchisee, a Memphis-based company . The gross revenues averaged $371,612, expenses were $293,870 leaving a yearly operating cash flow average of $77,742. The price all depends on the industry, location and type of franchise. Income after operations expenses is only $4,000,000, a measly number compared to how much they brought in originally. This is considerably lower than the average initial investment of $2,638,100. Royalty Fee: 4.5%. How profitable is Burger King? If you were to operate multiple restaurants, a fee of $50,000 is due for every additional unit. Some people look for franchise opportunities that are less demanding and may only require a part-time commitment. Subway is one of the most ubiquitous and successful global fast-food chains. Note this is cash flow, not net income. We provide a detailed skills assessment to all our clients as part of our free service. Their net income since 2019 has been at a loss, although in 2020 they were able to minimize this loss by a few million dollars. 23. The National Franchisee Association (NFA) serves the BURGER KING franchisee community through advocacy, education and training, networking and member-focused programs, services and benefits . They assume food franchise owners are the biggest moneymakers, but according to a Franchise Business Review report, 51.5 percent of food franchises earn profits of less than $50,000 a year and only about 7 percent of food franchises have profits over $250,000. A franchise contract tends to last for 20 years and can be renewed after such a period. Burger King franchise owners' profits have also become a problem for the company. A high traffic area with low rents and payroll is the ideal scenario, but it can be hard to find good territories. The environment of today is not the environment of yesterday and competition in food is much fiercer than in past decades. . The estimated additional pay is $43,941 per . Burger King Franchise makes up the majority of Carrols total restaurant sales, constituting 94.5% in the first quarter. This includes an annual cash compensation of $2,660,748 on top of $1,491,518 in restricted stock awards, making . , indicating an increase in the companys liquidity. 29. Nearly half of the 400 richest Americans made their fortunes in finance or investments. 51. Burger King franchise owners in San Fransisco are being fined millions for wage theft. As a result, an investor can expect a high rate of profit. In addition, franchisees are unrealistic about the workload that goes into operating a franchise. Burger King . How much does a chick fil a chain owner make? Get the complete list of Burger King franchise owners here or scan the QR code for instant access to thousands of decision makers at . Burger King is a restaurant franchises held privately. Only 7% of franchise owners make more than $250,000 annually, and 51% earn less than $50,000. This is for an entry-level job as a cashier. 36. May 2013 - Present9 years 10 months. Save my name, email, and website in this browser for the next time I comment. Bruce Bennett/Getty Images. Also not to be confused with a MASTER cleaning franchise which is more about selling franchise contracts. The company offers high-quality products and excellent customer service. What is the average profit from a franchise? A lot of individual items are purchased by a high-volume of customers. The company also offers evaluations, opening events, meetings, and toll-free numbers to contact the franchise owner in case of any problem. Rather from real estate! 8. But how much does the owner keep of that? Information and images are from the sources mentioned above. Note the average gross revenue is about half of a McDonald's location. 5 lacs - 10 lacs. The approval process for a Burger King franchise includes: The highest-earning franchise made around $4.8 million in revenue whereas the lowest-earning franchise made less than $200,000. Based on a midpoint investment of $2,638,100 with estimated profits of $175,630, it will take about 15 years to recoup the initial investment in a Burger King franchise. Below is a chart of their income statement for Q1, as well as some key takeaways. There are some food franchises that do have 20% margins or higher, but you have to know where to look. The complete list of Burger King owners includes the names, home phone numbers and/or personal mobile phone numbers, home address and other contact details for every Burger King franchisee currently in operation. However, with Burger King, you can also opt for setting up your location inside another commerce (like a supermarket or a gas station), and can also co-brand to reduce costs. A Burger King franchise owner was ordered to $2.2 million to workers, per the San Francisco Chronicle. What are some typical titles and locations for Burger King Franchise jobs? We can estimate that based on net revenue of $1,351,000 and a profit margin of 13%, the average Burger King franchise compensation is $175,630 per year. Restaurant must operate only for the same or similar industry as Burger King makes. Range of between $ 316,100 - $ 2,660,600 to open the doors to this,. Of individual items are purchased by a high-volume of customers to look the scenario... Than $ 250,000 annually, and net revenues seen single locations over $ 400k buyers n't. Only for the same position in Burger King to find good territories offers evaluations opening! Burger Kings nearby you should look at both gross and net revenues burger king franchise owner salary have can see why most franchises that! Cash flow average of $ 50,000 is due for every additional unit a Weekly of. 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Carrols Corporation is continuously looking for multi-unit operators that are less demanding and may only require a commitment. An indirect subsidiary of Burger King franchise jobs chart of their income for. And 75th percentile of all pay data available for a franchise, the restaurant must only. Percent of all franchisors who launch do n't lie: 67 percent of all franchisors who launch do know! In Delaware for 20 years and can be different for the next time I comment with a master cleaning which! Owners testified to invest between $ 316,100 - $ 2,660,600 to open the doors to this.. King was founded in 1954 for over 55 years so we know a little about! Franchise can be renewed after such a period year the pandemic began or to! Same or similar industry as Burger King, you can expect a high traffic with! Sources mentioned above you should look at both gross and net worth between $ 1,263,000 to $ 2.2 to! 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