is five guys franchise

by Gretchen Wiza Published 2 years ago Updated 1 year ago

How much does it cost to open Five Guys franchise?

The total minimum investment needed in order to be considered for a Five Guys franchise is between $152,600 and $360,300 which requires a $25,000 initial franchising fee, and a twenty year agreement term. The Five Guys Burgers and Fries restaurant opened in 1986, and began offering franchise opportunities in 2002.

How much Five Guys franchise owners really make per year?

The median income for a food franchise owner is around $126,866 a year, so we can reasonably expect a Five Guys franchisee to be somewhere around that. Before owners can make that kind of money with Five Guys, though, they first have to convince them that they're worthy of sitting at the table.

How much does Five Guys franchise owner earn?

Franchisees typically own 10 to 15 Five Guys restaurants, which cost $350,000 to $500,000. They make an average of about $1 million annually from each restaurant. The company generates $2 million in revenue each year. In addition to this, a 6% royalty fee is charged in the initial $25,000 franchise fee.

Does Shaq own Five Guys?

Today Shaq reportedly owns 155 Five Guys franchises, nearly 10% of all the Five Guys in existence. An investment in a Five Guys franchise is estimated to cost the owner between $306,000 and $716,000.

Is Five Guys a chain or franchise?

Five Guys franchises are fast casual dining restaurants which specialize in the sale of hamburgers, French fries, and related accompaniments in accordance with the franchisor's recipes and ingredients, and other food items that the franchisor's comprehensive and unique system.

Is Five Guys a yes or no franchise?

Is Five Guys a franchise in the UK?

Five Guys is one of the UK's fastest growing food franchise brands. It focuses on the simple formula of 'Burgers and fries – cooked to perfection, and was established in Virgina, USA in 1986 by the Murrell family, as a family owned and operated business.

When did Five Guys franchise?

2003Early in 2003, Jerry and Janie, together with the “Five Guys,” began offering franchise opportunities. In just under 18 months, Five Guys Enterprises sold options for more than 300 units.

Who owns Five Guys now?

Five Guys Holdings, Inc.Five Guys / Parent organization

What does Five Guys stand for?

Jerry and Janie Murrell gave their five sons a choice, 'Start a business or go to college?” The business route won and the family opened the first Five Guys – named after the five brothers.

What is the cost of McDonald's franchise?

Documents- ID cards, lease documents, etc. Franchise Investment Cost- In India, if anyone wants to start a McDonald's franchise in India, then their net worth should be between INR 10 to 15 Crore. Also, assets worth INR 5 Crore should be in the form of cash or liquid assets.

Is Starbucks a franchise?

Starbucks Coffee doesn't franchise. Even though franchising is a classic, successful growth strategy for myriad beloved, familiar brands, Starbucks does not grant franchises. It's not because franchising isn't a time-tested model for growth. Many companies offer franchises.

Why does Five Guys give free peanuts?

Munching on complimentary peanuts has become synonymous with eating at Five Guys—the same way it is with Texas Roadhouse. While you might think these are offered as a nice gesture, one employee admits that the peanuts are there to distract customers from watching the workers prepare their food.

How many 5 guys Does Shaq own?

155 Five Guys hamburger establishmentsSince he announced his retirement in 2011, the NBA star has become the owner of 155 Five Guys hamburger establishments, which represented 10% of the total company.

What is the most profitable franchise?

Top 14 Most Profitable FranchisesMcDonald's. Units in operation: 39,360. ... Dunkin Donuts. Units in operation: 12,800. ... Taco Bell. Units in operation 12,800. ... Subway Franchise. Offers Financing: Yes. ... Anytime Fitness Franchise. Units in operation: 4,904. ... Sonic. Royalty: 2.5% - 5.0% ... Planet Fitness. Royalty 7.0% ... Orangetheory Fitness.More items...

Is Five Guys food healthy?

What Experts Say. “Specializing in hot dogs, burgers, French fries, and shakes, Five Guys' menu is rich in calories, saturated fat, and sodium. If you are trying to find a healthier option on this menu, you can order the simpler, smaller menu items.

Is Shake Shack a franchise?

Does Shake Shack franchise? We don't offer franchising at this time, but some of our Shacks are operated via licensed agreements.

Are Five Guys individually owned?

No Five Guys is not individually owned so you will often see the owners. Five Guys stores can operate under corporate or individual franchise, but for the most part all follow the same rules and guidelines. Yes!

How many Five Guys locations are there?

Five GuysMerritt Island, FloridaFounded1986 Arlington, Virginia, United StatesFoundersJerry Murrell, Janie MurrellHeadquartersLorton, Virginia , United StatesNumber of locations1,700+ (2021)12 more rows

Is Five Guys a private company?

Five Guys stock is not publicly traded, which means shares cannot be found on any public exchange. It is a Limited Liability Company based in Lorton, Virginia, and it employs approximately 5,000 people.

What does a Five Guys Franchise Cost?

The total investment to open a Five Guys Burgers and Fries restaurant is between $152,000 and $360,000. Candidates are asked to have $150,000 liquid assets available. The royalty fee is 6-8%.

How many Five Guys locations are there?

The Murrell family started the Five Guys burger business back in 1986 with their sons and today, 30 years after Five Guys first opened, there are almost 1,500 locations worldwide and another 1,500 units in development.

What is Five Guys Burgers?

Five Guys Burgers and Fries is a family-owned carry-out burger joint that prides itself on serving only hand-formed burgers cooked to perfection on a grill along with fresh-cut fries cooked in pure peanut oil .

How much does it cost to open Five Guys Burgers?

The total investment to open a Five Guys Burgers and Fries restaurant is between $152,000 and $360,000. Candidates are asked to have $150,000 liquid assets available. The royalty fee is 6-8%.

Where is Five Guys located?

Five Guys Burgers and Fries is an American fast casual restaurant which specialize in serving fresh, hand-formed hamburgers, hot dogs, fresh-cut french fries, milkshakes and other delicious menu items. Headquarted in Lorton, VA, Five Guys has over 1,300 locations in over 49 states and 6 Canadian provinces.

Does Five Guys have freezers?

There are no freezers in Five Guys locations, just coolers.

Background

The Five Guys franchise is an award-winning retro-style burger joint that like to keep things short and simple, in the form of a simple but sweet menu offering, and a goal and mission statement written in no uncertain terms.

Support and Training Offered By Five Guys

The franchisor provides a comprehensive training package to its new franchisees. This is mainly an on-site training provided by a Five Guys representative who would be on the ground for two weeks to ensure that the right skills are learned by the franchise owner and other working staff.

Who is the 5 Guys franchise?

Is a Five Guys Franchise a Tasty Investment? Published: July 5, 2019. Who are the “Five Guys” behind the gourmet burger chain that is now one of the hottest restaurant franchises on the market? The Five Guys franchise actually originated with one guy, Jerry Murrell, who started the business as a single take-out shop in Arlington, VA back in 1986.

How much does it cost to open a Five Guys franchise?

Opening a Five Guys franchise requires an initial investment ranging anywhere from $306,200 to $641,250, according to the Franchise Disclosure Document. However, this investment is much less than the initial investments other fast food powerhouses require of their franchisees.

How much does Five Guys make?

That said, Five Guys franchisees can reasonably expect to make as much as $1.18 million in annual sales, according to QSR. While this is less than some of its competitors, its lower initial investment might make it a better entry point for some franchisees.

How much does a Five Guys cheeseburger cost?

A Five Guys cheeseburger costs $7.69, while a bacon and cheese Whopper at Burger King will set you back $5.19. Standard Locations: Although its menu is flexible, Five Guys building standards are fairly uniform. You’ll never drive up to a Five Guys in a rural location or experience one with extra capacity.

How long does it take to replace a Five Guys franchise?

This includes attending training and holding responsibility for all business operations. If you or one of your managers cannot serve as Operating Principal or you no longer qualify, you must designate a replacement within 15 days.

What is Five Guys known for?

Five Guys is one of the leading fast food chains in the country, known for its commitment to quality and customer experience. Adweek recently called it the “rarest of unicorns” in that its able to grow and maintain its popularity without spending big bucks on large-scale advertising.

How long does it take to get a franchise in Five Guys?

Thorough Training: Once a franchisee’s application has been accepted, members of their team (including a general manager and operating principal, and assistant general manager) must undergo a comprehensive management training program at its corporate headquarters in Virginia for at least two weeks. For the opening of your first restaurant, Five Guys provides you with one of its trained representatives to provide on-site pre-opening and opening training, supervision, and management assistance to you for 10 days according to the Franchise Disclosure Document.

Where did Five Guys start?

About Five Guys. Family-owned, Five Guys started near Washington, D.C. in 1986 by the Murrell family and, as the name suggests, includes five sons, the “five guys.”.

How many units did Five Guys Enterprises sell?

In just under 18 months, Five Guys Enterprises sold options for over 300 units. The overwhelming success of franchising a local restaurant made national news with articles in trade publications such as Nation's Restaurant News, Restaurant Business Magazine, and the Franchise Times.

Where are Five Guys Burgers and Fries located?

Five Guys Burgers and Fries has been a Washington, DC area favorite since 1986 when Jerry and Janie Murrell offered sage advice to the four young Murrell brothers: "Start a business or go to college." The business route won and the Murrell family opened a carry-out burger joint in Alexandria, Virginia.#N#Under the guidance of Jerry and Janie, the Murrell family served only hand-formed burgers cooked to perfection on a seasoned grill along with fresh-cut fries cooked in pure peanut oil. The little burger joint quickly developed a cult-like following. Press paid attention. Customers voted the burger "#1" in the metro area.#N#During the 1980's and 1990's the Murrell family perfected their simple system. Five Guys was The Place to get a fresh, juicy burger with all the toppings you could stuff between fresh-baked buns. A fifth brother was born and, as their family grew, so did their business. Four more restaurants with sit-down seating were added to accommodate the growing clientele.#N#Early in 2003 Jerry and Janie, together with the five "guys" began offering franchise opportunities. In just under 18 months, Five Guys Enterprises sold options for over 300 units. The overwhelming success of franchising a local restaurant made national news with articles in trade publications such as Nation's Restaurant News, Restaurant Business Magazine, and the Franchise Times.

How Much Do Five Guys Franchise Owners Make?

Five Guys does not make any representations about a franchisee’s future financial performance or the past financial performance of company-owned or franchised outlets. However, if you (franchisee) are purchasing an existing outlet, Five Guys may provide you with the actual records of that outlet.

Is the Five Guys Franchise Profit Worth the Franchise Cost?

To assign a valuation multiple for Five Guys franchises, we leverage estimates from DealStats, a database of acquired private company transactions sourced from U.S. business brokers and SEC filings. We used the valuation of franchise food businesses in our calculations.

Five Guys Holdings, Inc. Income Statement Key Insights

Five Guys Holdings Inc. is the franchisor of all Five Guys franchises. The company made losses in three consecutive years: 2020, 2019 and 2018 with the big loss of $95 million occurring in 2019. This does not indicate a profitable business and it may take a long time to start making profit.

CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2020, 2019, AND 2018 (Dollars in thousands)

In the year ending in 2020, Five Guys had cash, cash equivalents, and restricted cash of $168 million. This was more than 3 times the amount in 2019 and almost 2 times the amount in 2018. The cash, cash equivalents, and restricted cash in 2019 and 2018 were $59 million and $88 million respectively.

Where was Five Guys founded?

Five Guys was founded in 1986 with its first store location in Arlington, Virginia, and quickly became a Washington, D.C.-area favorite. It was Jerry and Janie Murrell who gave their four sons a choice: start a business or go to college.

What does Five Guys do?

Of course, Five Guys serves menu items other than their variety of burgers, such as hot dogs, including Kosher and a bacon cheese dog, sandwiches like grilled cheese and veggie. In addition to their regular fries, Five Guys serve Cajun style. They also serve just plan peanuts in bulk, no charge.

What does Five Guys use for fries?

Five Guys Burgers and Fries uses only fresh ground beef in their burgers, and their restaurants don’t even have freezers, only coolers, so nothing is ever frozen. They use only peanut oil in cooking their menu items, which are all trans-fat free. Of course, Five Guys serves menu items other than their variety of burgers, such as hot dogs, including Kosher and a bacon cheese dog, sandwiches like grilled cheese and veggie. In addition to their regular fries, Five Guys serve Cajun style. They also serve just plan peanuts in bulk, no charge.

How many ways can you order a burger at Five Guys?

Five Guys cooks and prepares burgers to order and no two burgers are alike. In fact, Five Guys proclaims that there are 250,000 possible ways to order a burger at the restaurant.

How many Dickey's locations are there?

Dickey's is the largest Barbecue franchise in the world and is an award winning brand. With over 500 locations in 43 states as well international locations, their smokin' franchise has been treating guests to great tasting barbecue since 1941. No restaurant experience needed, total training and support provided.

Is Five Guys Burgers a franchise?

Having received numerous awards in the cities where it opens franchises, Five Guys Burgers & Fries is one of the most dependable, fast-rising franchise opportunities available, and for a still-reasonable cost. The restaurant chain is rated one of the most talked-about burger brands online.

How much royalty does Five Guys take?

Five Guys also takes a gross sales royalty of 6 percent.

Who wrote the book Franchising for Dummies?

The book was co-written by Wendy's founder Dave Thomas, and gave Murrell the push he needed to welcome franchise investors into the fold.

Is Five Guys still in business?

Five Guys sold out of all its North American franchise rights shortly after opening the franchise doors and people have been clamoring to get one ever since. If you have the funds and a serious love of burgers, a Five Guys might be right for you. Just know that you won't be running a single store, but five at the very minimum.