Hottest New Franchises
2015
Burger 21™ is a new, innovative fast casual restaurant franchise concept that is changing consumers' expectations of the "better burger" category. With its chef-inspired creations, unique concept design and exceptional dining experience, Burger 21 is positioned for enormous growth. With 21 recipes for success, Burger 21 is shaking up the better burger industry. Forbes recently named Burger 21 as one of "10 Hot Chains from Established Brands."
| Year | Franchised | Change | Company-Owned | Change | Total | Change |
|---|---|---|---|---|---|---|
| 2013 | 2 | -- | 4 | 100.0% | 6 | 200.0% |
| 2012 | 0 | -- | 2 | 100.0% | 2 | 100.0% |
| 2011 | 0 | -- | 1 | -- | 1 | -- |
Investment Required
The initial franchise fee for a Burger 21 franchise $40,000, and this fee is reduced if the franchisee commits to develop multiple Burger 21 restaurants. Burger 21 provides the following range of investments required to open your initial franchise. The range assumes that all items are paid for in cash. To the extent that you choose to finance any of these expense items, your front-end investment could be substantially reduced.
| Item | Established Low Range | Established High Range |
|---|---|---|
| Initial Franchise Fee | $24,000 | $40,000 |
| Leasehold Improvements | $131,000 | $373,000 |
| Impact Fees | $0 | $32,000 |
| Furniture, Fixtures, Equipment | $112,000 | $215,000 |
| Computer and Point of Sales Hardware / Software; Phone System; Digital Display(s) | $20,000 | $33,000 |
| Computer Software Installation and Training; First Year Subscription | $5,275 | $6,395 |
| Gift Card Processing and Customer Survey Services (3 months) | $358 | $500 |
| Signage | $5,700 | $23,000 |
| 3 Months' Rent | $19,250 | $37,500 |
| Security Deposit | $0 | $10,000 |
| Opening Inventory and Supplies/Smallwares | $22,000 | $26,000 |
| Grand Opening Advertising | $10,000 | $15,000 |
| Wages, Travel, and Living Expenses During Initial Training & Line Cook Training | $22,620 | $52,820 |
| Opening Costs and Training | $22,000 | $37,000 |
| Working Capital/Additional Funds (3 months) | $25,000 | $70,000 |
| Insurance (3 months) | $3,000 | $4,000 |
| Legal and Accounting Expenses | $2,500 | $6,000 |
| Permits and Licenses | $2,500 | $6,000 |
| Total Investment | $427,203 | $987,215 |
Ongoing Expenses
Burger 21 franchisees are responsible for a weekly royalty fee of 5% of gross sales per report period, reduced to 2.5% for the time period that the restaurant opens ahead of schedule. In addition, there is an advertising fund not to exceed 1.5% of gross sales. Other fees include a gift card systems services fee, a technology and hosting fee, a local advertising expenditure, and a local co-op fee.
What You Get: Training and Support
Burger 21 franchisees are provided with an initial training program at the Burger 21 restaurant support center and affiliate restaurant location in Tampa, Florida, for up to five employees. The initial training lasts for approximately six weeks and encompasses training on kitchen management and food preparation, as well as front-of-house management. Following the restaurant's opening, Burger 21 will provide franchisees with guidance on standards, operating procedures, recipes, food preparation methods, and bookkeeping, among other subjects.
Territory
Burger 21 does not grant exclusive territories.
Note: The tables and information regarding the number of operating units, investment required, ongoing expenses, training and territory grants were taken from the company's 2014 FDD.
2014
Burger 21™ is a new, innovative fast casual restaurant franchise concept that is changing consumers' expectations of the "better burger" category. With its chef-inspired creations, unique concept design and exceptional dining experience, Burger 21 is positioned for enormous growth. With 21 recipes for success, Burger 21 is shaking up the better burger industry. Forbes recently named Burger 21 as one of "10 Hot Chains from Established Brands."
| Year | Franchised | Change | Company-Owned | Change | Total | Change |
|---|---|---|---|---|---|---|
| 2012 | 0 | -- | 2 | 100.0% | 2 | 100.0% |
| 2011 | 0 | -- | 1 | -- | 1 | -- |
| 2010 | 0 | -- | 0 | -- | 0 | -- |
Investment Required
The initial franchise fee for a Burger 21 franchise $40,000, and this fee is reduced if the franchisee commits to develop multiple Burger 21 restaurants. Burger 21 provides the following range of investments required to open your initial franchise. The range assumes that all items are paid for in cash. To the extent that you choose to finance any of these expense items, your front-end investment could be substantially reduced.
| Item | Established Low Range | Established High Range |
|---|---|---|
| Initial Franchise Fee | $24,000 | $40,000 |
| Leasehold Improvements | $225,000 | $300,000 |
| Furniture, Fixtures, Equipment | $200,000 | $215,000 |
| Computer and Point of Sales Hardware / Software | $19,000 | $24,000 |
| Computer Software Installation and Training; First Year Subscription | $3,995 | $4,995 |
| Signage | $75,000 | $20,000 |
| 3 Months' Rent | $16,500 | $25,000 |
| Security Deposit | $0 | $10,000 |
| Opening Inventory and Supplies | $20,000 | $24,000 |
| Grand Opening Advertising | $5,000 | $8,000 |
| Wages, Travel, and Living Expenses During Initial Training | $16,000 | $32,000 |
| Opening Costs and Training | $22,000 | $37,000 |
| Working Capital/Additional Funds (3 months) | $25,000 | $70,000 |
| Insurance (3 months) | $3,000 | $4,000 |
| Legal and Accounting Expenses | $6,000 | $9,000 |
| Permits and Licenses | $5,000 | $90,000 |
| Total Investment | $597,995 | $831,995 |
Ongoing Expenses
Burger 21 franchisees are responsible for a weekly royalty fee of 5% of gross sales per report period, reduced to 2.5% for the time period that the restaurant opens ahead of schedule. In addition, there is an advertising fund not to exceed 1.5% of gross sales. Other fees include a gift card systems services fee, a technology and hosting fee, a local advertising expenditure, and a local co-op fee.
What You Get: Training and Support
Burger 21 franchisees are provided with an initial training program at the Burger 21 restaurant support center and affiliate restaurant location in Tampa, Florida, for up to three employees. The initial training lasts for approximately six weeks and encompasses training on kitchen management and food preparation, as well as front-of-house management. Following the restaurant's opening, Burger 21 will provide franchisees with guidance on standards, operating procedures, recipes, food preparation methods, and bookkeeping, among other subjects.
Territory
Burger 21 does not grant exclusive territories.
Note: The tables and information regarding the number of operating units, investment required, ongoing expenses, training and territory grants were taken from the company's 2013 FDD.
