FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Sizzler.
Based on 2019 FDD · 2 filings in corpus
This page is using 2019 FDD source data. Verify the franchisor's current FDD before relying on costs, fees, or Item 19. It is excluded from search indexing until refreshed.
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a Sizzler franchise shows an estimated initial investment of $1.3M – $2.6M. Reported owner economics show $107K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $35K franchise fee · 4.5% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
Sizzler requires a total initial investment of $1.3M to $2.6M (midpoint approximately $2.0M), with an initial franchise fee of $35K. The ongoing fee burden is 4.5% . This is below the industry average of approximately 15.5%, leaving more margin for the operator.
According to Item 19 of the 2019 FDD, the median revenue for Sizzler locations is $1.9M. The implied franchisee EBITDA is approximately $107K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 5.4% with a payback period of approximately 18.4 years.
Sizzler operates approximately 116 franchised units. However, the brand has been contracting with a 3.4% net unit decline, which may signal franchisee dissatisfaction, territory saturation, or competitive pressure. The SBA 7(a) loan default rate of 20.0% is above the franchise industry average of approximately 7.2%, suggesting elevated financial risk for franchisees relying on debt financing.
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 2019 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Real lending data from SBA 7(a) loans (2015-2019). 5 loans across 2 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
Common questions buyers ask about Sizzler, answered from FDD and SBA data.
The total initial investment for a Sizzler franchise ranges from $1.3M to $2.6M, according to their Franchise Disclosure Document.
Sizzler charges a 4% royalty fee on gross sales.
The initial franchise fee for Sizzler is $35,000.
There are approximately 116 Sizzler franchise locations as of 2023.
The median revenue for a Sizzler franchise is $1.9M, with a cash-on-cash return of 5.4%, according to FDD Item 19 data.
Sizzler has an SBA loan default rate of 20.0% based on SBA 7(a) loan data.
Whether a Sizzler 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.
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