Do you want to open a fast food business by buying Wayback Burgers franchise? If YES, here is how much it cost to open Wayback Burgers franchise successfully. If you are looking towards opening a Wayback Burgers Franchise, it will be nice for you to have a preview of what the company represents before going ahead to enquire about the total cost of opening the franchise in your location.
Wayback Burgers was founded in 1991 and they began franchising in 2006, about 14 years ago. The current CEO is John Eucalitto and they have their corporate head office at 716 S. Main St. Cheshire, CT 06410, USA. As of the 2021 Franchise Disclosure Document, there are 143 franchised Wayback Burgers locations in the USA. Based on 2021 FDD data, Wayback Burgers has franchise locations in 30 states plus DC. The largest region is the South with 60 franchise locations.
The company currently has over 160 stores operating worldwide, all of which are franchisee owned. Wayback Burgers also continues its international master expansion into 38 countries, with locations currently sold in the Middle East, North Africa, Argentina, Alberta, Manitoba, Ontario, Saskatchewan, British Columbia, Canada, Brunei, Sudan, Pakistan, Morocco, Bangladesh, Kuwait and Western Malaysia (Kuala Lumpur).
Wayback burgers specialize in hamburgers, old-fashioned, hand-dipped milkshakes in several select flavors, distinctive chicken sandwiches, hot dogs, cheese dogs, salads, and merchandise. Here are areas where you are expected to spend money and the cost associated with it;
Financial Investment Requirem to Open a Wayback Burgers Franchise
Table of Content
- 1. Initial Franchise Fee: $35,000
- 2. Leasehold Improvements: $40,000 to $150,000
- 3. Initial Rent Outlays: $2,500 to $12,000
- 4. Equipment: $65,000 to $90,000
- 5. Outside Fixtures and Furnishings: $5,000 to $10,000
- 6. Signage: $3,000 to $15,000
- 7. Initial Inventory: $4,000 to $7,000
- 8. Supplies: $5,000 to $7,500
- 9. Travel and Living Expenses During Training: $1,000 to $10,000
- 10. Utility Deposits: $0 to $5,000
- 11. Prepaid Insurance Premiums: $500 to $5,000
- 12. Permits and Licenses (including design fees): $1,000 to $10,000
- 13. Grand Opening Advertising: $5,000
- 14. Additional Funds and Miscellaneous: $5,000 to $20,000
1. Initial Franchise Fee: $35,000
Please note that the initial franchise fee is $35,000 for one franchise. So also, if you sign a Development Agreement to establish and operate multiple franchises, the initial development fee will be $35,000 for the first restaurant to be developed and $20,000 for each additional restaurant.
The franchisor will credit $35,000 against the initial franchise fee payable under your first Franchise Agreement, and $20,000 payable under each additional Franchise Agreement, when you sign the Franchise Agreements for restaurants to be opened pursuant to the Development Agreement.
2. Leasehold Improvements: $40,000 to $150,000
You must renovate or construct your restaurant in accordance with the franchisor’s specifications. This estimate includes costs of construction and assumes that basic plumbing, electricity, and heat or air conditioning exist on the premises.
You may choose to spend more for leasehold improvements, but this is not normally recommended. Please note that these sums do not include any sums for purchase of real property, as it is not anticipated that you will purchase real property.
3. Initial Rent Outlays: $2,500 to $12,000
If you do not already own a site for your Jake’s Wayback Burgers restaurant, you must lease or acquire a site for the term of the Franchise Agreement. The franchisor recommends that your restaurant be located in an end-cap strip shopping center or on its own as a freestanding unit, and provide a covered outside eating area.
Please note that in the event that you lease the premises for the restaurant, the franchisor has provided in the charts an estimated cost, which estimate includes one month’s rent plus one month’s rent as security deposit and one month’s pro-rated share of common area maintenance, taxes, and insurance.
The franchisor has not provided an estimate of legal or other professional costs incurred for negotiating the lease. The franchisor has not provided an estimate of costs incurred for purchasing the premises for a restaurant, as the franchisor anticipates you will rent the premises.
The approximate size of the premises and the building for your restaurant will range from 1,200 to 2,400 square feet at a cost of $12 to $100 per square foot.
4. Equipment: $65,000 to $90,000
Please note that this estimate includes the costs of an initial equipment package (from various designated suppliers) which includes restaurant equipment, including refrigerators, freezers, grills, fryers, stools, point-of-sale system, office equipment (computers and furniture), music system, and an audio and visual surveillance system.
5. Outside Fixtures and Furnishings: $5,000 to $10,000
Please note that if your restaurant has space for an outside eating area, you must purchase fixtures and furnishings for the outside eating area. This estimate includes the costs of outside table and/or chairs, lighting fixtures, and a canopy or an awning.
6. Signage: $3,000 to $15,000
7. Initial Inventory: $4,000 to $7,000
Please note that you must purchase your initial inventory of products, as prescribed by the franchisor in its confidential manuals or otherwise in writing, including beef, french fries, ice cream, buns, and other food items and paper products (bags, plates, and cups).
Your cost will be based upon the amount purchased. So also, your amount purchased will depend on your anticipated sales for the restaurant, which will depend on a variety of factors such as the size and location of your restaurant and overall anticipated demand.
8. Supplies: $5,000 to $7,500
So also, you must purchase supplies for the restaurant. These estimates include the cost of uniforms and smallwares, which include cooking, cleaning (cleaning products, chemicals, brushes), and serving (utensils).
9. Travel and Living Expenses During Training: $1,000 to $10,000
10. Utility Deposits: $0 to $5,000
11. Prepaid Insurance Premiums: $500 to $5,000
12. Permits and Licenses (including design fees): $1,000 to $10,000
Please note that before the opening of your restaurant, you must obtain all necessary permits and licenses. The above estimates include architectural fees, building permits, certificates of occupancy, and certificates of health. So also, this cost does not include impact or major facility fees that may be required to build your restaurant.
13. Grand Opening Advertising: $5,000
Please note that you must spend $5,000 on grand opening advertising between 30 and 90 days after opening in the form and manner prescribed by the franchisor in writing.
14. Additional Funds and Miscellaneous: $5,000 to $20,000
Please note that this estimates your other initial three-month start-up expenses, less income earned, not including any salary, finance costs, debt service, or reimbursements or other payments to you.
This also includes initial employee recruitment, training and wages, legal and accounting fees (if any), other variable costs (e.g. ongoing electricity, telephone, heat, etc.) and general and administrative costs.
- POS Hardware and Software: Depends upon vendor and products purchased. (Due Date: Depends upon vendor and products purchased.)
- Attorneys’ Fees and Costs: Will vary under circumstances. (Due Date: As incurred.)
Payable to Wayback Burgers if it is forced to retain independent counsel and seek damages or injunctive relief to enforce the Franchise Agreement (whether or not suit is filed) or if Wayback Burgers is required to defend your unsuccessful claim against it.
- Veteran Incentives: $5,000 off franchise fee
- Term of Agreement and Renewal: The length of the initial franchise term is 20 years. If requirements are met, franchisees can renew for one additional term of 5 years.
- Financial Assistance: Wayback Burgers has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, and payroll et al.
- Total: $172,000 to $381,500
Please note that the franchisor relied on its affiliate’s experience in the restaurant business to compile these estimates.
- Initial investments: $209,000 – $524,500
- Net-worth Requirement: $300,000
- Liquid Cash Requirement: $100,000
- Ongoing Initial Franchise Fee: $35,000
- Ongoing Royalty Fee: 5%
- Ad Royalty Fee: 2%.