What are Arby’s franchise royalty fees?

Arby’s charges a 4% royalty fee on gross sales.

What is the Arby’s franchise fee?

The initial franchise fee for Arby’s is $37,500.

How many Arby’s franchise locations are there?

There are approximately 2,316 Arby’s franchise locations as of 2023.

How much profit does a Arby’s franchise make?

The median revenue for a Arby’s franchise is $1.2M, with a cash-on-cash return of 2.9%, according to FDD Item 19 data.

What is the SBA loan default rate for Arby’s?

Arby’s has an SBA loan default rate of 5.0% based on SBA 7(a) loan data.

Is a Arby’s franchise worth it?

Whether a Arby’s franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.

Scorecard Worth It?History Database Compare Distress Signals

QSRRevenue OnlyItem 19: ✓ DisclosedHigh Confidence · 100/100FDD data: 2025 · Fresh

Arby’s Franchise Cost and Profit

FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Arby’s.

Based on 2025 FDD · 19 filings in corpus

FranchiseIQ Score

Moderate-Low Risk

Composite score from 3 risk dimensions. Click for breakdown ↓

Health Score

50/100

7/7 metrics · High confidence

Full analysis unlocks:

✓ Cash-on-Cash return
✓ Payback period
✓ SBA default rate
✓ Red flags assessment
✓ Comparable franchises

Unlock 10 Reports — Start with Arby’s →Already have access? Sign in →

Cost and profit at a glance

How much does a Arby’s franchise cost and make?

Based on FDDIQ's FDD corpus, a Arby’s franchise shows an estimated initial investment of $645K – $2.5M. Reported owner economics show $45K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.

Startup Cost

$645K – $2.5M

Total initial investment

Profit / Revenue

$45K

FDD Item 19 signal

Payback Signal

34.1 years

Modeled return metric

SBA Default Rate

5.0%

Loan repayment history

Compare franchise costs →Estimate franchise ROI →Check SBA default rates →Browse QSR franchises →Compare similar franchises →

Quick fee read: $38K franchise fee · 9.2% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.

Free decision snapshot

Before you talk to Arby’s, check the numbers buyers usually miss.

The unlocked report ties this brand's FDD disclosures to SBA outcomes, Item 20 movement, fee load, missing-data labels, and buyer assumptions — so you can decide whether this is worth deeper diligence.

FDD disclosure qualitySBA default outcomesItem 20 unit movementFee/cost stressComparable brands

Unlock 10 reports — start with Arby’s View sample report first

$19.99 one-time · Includes 10 reports · 7-day satisfaction guarantee

Arby’s Franchise Analysis

Arby’s requires a total initial investment of $645K to $2.5M (midpoint approximately $1.5M), with an initial franchise fee of $38K. The ongoing fee burden is 9.2% (4% royalty plus 5.2% advertising fund). This is below the industry average of approximately 14.2%, leaving more margin for the operator.

According to Item 19 of the 2025 FDD, the median revenue for Arby’s locations is $1.2M. The implied franchisee EBITDA is approximately $45K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 2.9% with a payback period of approximately 34.1 years.

Arby’s operates approximately 2,316 franchised units. Unit count is relatively stable with a -2.1% year-over-year change. The SBA 7(a) loan default rate of 5.0% is in line with industry norms of approximately 9.4%.

Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.

Analysis based on 2025 FDD filing. FDDIQ Editorial Team · Methodology

Total Investment Range$645K – $2.5M

MinMid: $1.5MMax

Key Metrics

Franchise Fee

$38K

Royalty Rate

Ad Fund Rate

5.2%

Total Burden

9.2%

Royalty + ad fund

Units (2023)

2,316

-48 vs prior yr

Net Unit Growth

→ -2.1%

Year over year

Net Closure Rate

From FDD Item 20

Cash-on-Cash Return

2.9%

Annual estimated return

Payback Period

34.1 yrs

Break-even timeline

SBA Default Rate

5.0%

vs ~7.2% industry avg

Median Revenue

$1.2M

Item 19 disclosed

Premium Data

Unlock Full Franchise Analysis

Get cash-on-cash return, payback period, SBA default rate, and red flag details for Arby’s.

CoC ReturnPayback PeriodSBA Default RateMedian RevenueEbitda MarginRisk Score

Unlock 10 Reports - $19.99

Or sign in if you already purchased

Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

Arby’s vs. QSR Average

MetricArby’sQSR Avg

SBA Default Rate5.0%▲9.4%

Cash-on-Cash Return2.9%▼14.2%

Total Investment$1.5M$380K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

SBA Loan Performance

Real lending data from SBA 7(a) loans (2010-2026). 75 loans across 20 states.

Default Rate

5.0%

Moderate

Total SBA Loans

20 states

Total Loan Volume

$51.2M

SBA 7(a) approved

Avg Loan Size

$683K

Per franchisee

Loan Status Breakdown

Paid in Full (57%)

Currently Active

Charged Off (2.2% by $)

$1.1M

Total Charged Off ($)

● Paid● Active● Charged Off

Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.

Compare

Arby’s vs Chick-fil-A, Inc.Arby’s vs McDonald's Arby’s vs Get Fried

Multi-Brand Operators · Who Runs This Brand

Flynn Group

View Hub

San Francisco, CA· 2,850+ locations

370 locations of this brand