As of November 2010, the fee per restaurant is $50,000 for a 20-year franchise agreement. Payment is due before the restaurant opens. You will also pay a monthly royalty fee of 4.5 percent of gross sales, as well as a monthly advertising contribution of 4 percent of gross sales.
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Complete a prequalification questionnaire, available at the company's website, to see if you qualify to proceed further in the application process.
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Meet minimum financial requirements. Burger King requires a net worth of at least $1.5 million and $500,000 in liquid assets in order to acquire a single restaurant, according to its website. Depending on location and other circumstances, the requirements for a particular franchise can be considerably higher.
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File a Franchise Disclosure Document with the company. It can be completed electronically at Burger King's website or as a paper document. For a copy of the paper document, call 305-378-3588.
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Acquire startup costs. On average, startup costs will range from $1.2 million to $2.2 million, according to the company. Factors--such as geographic location, site availability, building size and building code requirements--will effect the total cost. Detailed information regarding startup and operating costs can be found in Burger King's Franchise Disclosure Document.
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Complete franchisee training. Depending on your restaurant and business experience, you will have to complete as much as 84 days of classroom and on-the-job training. It includes a mandatory 80 hours of new franchisee orientation, as well as up to seven weeks of in-restaurant training. In-restaurant training is conducted in a Burger King-operated store as convenient to you as possible.
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Buy an existing Burger King location. Most new franchisees enter the business by doing that, according to the company. You will make a deal directly with the current owner. Pricing is established by a multiple of the restaurant's annual cash flow and profitability. Factors--such as the condition of the facility, the number of years remaining on the franchise agreement and the availability of financing--will impact the price you will pay.
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