BURGER KING Franchise Cost and Profits in 2026

By FDDIQ Research Team | April 2026

Based on 2025 FDD Filing

Quick Summary

$50,000

Franchise Fee

$2.5M

Midpoint Investment

9.0%

Total Fees

$1.6M

Median Revenue

-1116

Net Closed

Cost Breakdown

Fee	Amount
Franchise Fee	$50,000
Total Investment Range	$348,400 - $4.7M
Midpoint Investment	$2.5M
Royalty Rate	4.5%
Advertising Fund	4.5%
Total Ongoing Fees	9.0%

Revenue and Profit Analysis

The median BURGER KING franchise generates $1.6M in annual revenue. With estimated margins of 13%, that is approximately $205,293 in annual EBITDA.

Revenue per dollar invested: 0.62x.

Unit Count

BURGER KING has 6,640 franchised units. Lost 1116 net units (-16.0% decline).

SBA Loan Performance

SBA default rate: 3.3% across 133 loans. This is below the franchise industry average (~7-8%).

Key Risk Factors

Declining unit count (1116 net closures)

Frequently Asked Questions

How much does a BURGER KING franchise cost?

A BURGER KING franchise requires a $50,000 franchise fee with total investment ranging from $348,400 to $4.7M. The midpoint investment is approximately $2.5M.

How much do BURGER KING franchise owners make?

Based on the most recent FDD, the median BURGER KING location generates $1.6M in annual revenue. With estimated industry margins of 13%, that translates to approximately $205,293 in EBITDA before debt service.

What is the BURGER KING royalty rate?

BURGER KING charges a 4% royalty on gross sales plus a 4.5% advertising fund, for a total ongoing fee burden of 9.0%.

Is a BURGER KING franchise worth it?

Whether BURGER KING is worth it depends on your market, experience, and financial goals. Key concerns include declining unit count (1116 net closures). The brand has been contracting with 1116 net closures. The SBA loan default rate is 3.3%. Review the latest FDD thoroughly and validate with existing franchisees before investing.

What is the BURGER KING franchise SBA loan default rate?

Based on SBA loan data, BURGER KING has a 3.3% default rate across 133 loans. This is below the overall franchise industry average.

Want the full BURGER KING FDD analysis?

Detailed financial data, Item 20 outlet counts, litigation history, and more.

View Full BURGER KING Profile