16 frequently asked questions answered with data from the 2025 Franchise Disclosure Document.
The total initial investment to open a BurgerFi franchise ranges from $705K to $1.2M (2025 FDD). This includes the franchise fee, equipment, build-out, inventory, and working capital needed before opening.
View full investment analysisThe initial franchise fee for BurgerFi is $35K (2025 FDD). This one-time fee is paid to the franchisor when signing the franchise agreement and covers the right to use the brand, systems, and initial training.
View full investment analysisData sourced from the BurgerFi 2025 Franchise Disclosure Document (FDD). Always review the most current FDD and consult with a franchise attorney before making investment decisions.
No, BurgerFi does not require franchisees to have dedicated real estate (2025 FDD). This can significantly reduce startup costs and ongoing overhead.
View full investment analysisBurgerFi charges a royalty fee of 5.5% of gross sales (2025 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.
View full fees analysisThe total ongoing fee rate for a BurgerFi franchise is approximately 9.5% of gross sales (2025 FDD). This includes the royalty fee, a 4.0% marketing/advertising fund contribution, and other recurring charges.
View full fees analysisBurgerFi has been involved in 2 litigation cases over the past 3 years (2025 FDD). There are no class action lawsuits pending.
View full litigation analysisYes, the BurgerFi franchisor has a bankruptcy filing in their history (2025 FDD). Prospective franchisees should review FDD Item 4 for complete details.
View full litigation analysisBurgerFi offers protected territory rights to its franchisees (2025 FDD). The franchise agreement includes encroachment protection, preventing the franchisor from placing another unit in your territory. Online sales rights are shared between the franchisor and franchisee.
View full territory analysisBurgerFi currently operates 82 locations (2025 FDD) (66 franchised, 16 company-owned). The system contracted by 22.6% over the past year. The 3-year compound annual growth rate is -10.1%.
View full growth analysisThe 1-year franchisee turnover rate for BurgerFi is 29.8% (2025 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.
View full growth analysisAccording to the BurgerFi FDD Item 19 financial performance representation (2025 FDD), the median gross sales per unit is $1.2M (average: $1.3M).
View full financials analysisThe initial franchise agreement term for BurgerFi is 10 years (2025 FDD). Franchisees can renew 2 times for 5-year periods. The total potential term is 20 years.
View full contract analysisBurgerFi's post-termination non-compete clause restricts former franchisees from operating a competing business for 2 years within 5 miles of the former location (2025 FDD).
View full legal analysisNo, BurgerFi's franchise agreement does not require mandatory arbitration (2025 FDD). Disputes may be resolved through litigation.
View full legal analysisBurgerFi provides 238 hours of initial training over approximately 4 weeks (2025 FDD). Ongoing field support is provided on a as-needed basis.
View full support analysisYes, BurgerFi provides site selection assistance to help franchisees find the right location (2025 FDD). The franchisor also provides technology support and systems.
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