FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Wingstop.
Based on 2025 FDD · 6 filings in corpus
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a Wingstop franchise shows an estimated initial investment of $298K – $1.0M. Reported owner economics show $30K. 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: $25K franchise fee · 11.5% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
Wingstop requires a total initial investment of $298K to $1.0M (midpoint approximately $656K), with an initial franchise fee of $25K. The ongoing fee burden is 11.5% (6% royalty plus 5.5% 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 Wingstop locations is $2.0M. The implied franchisee EBITDA is approximately $30K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 4.6% with a payback period of approximately 21.7 years.
Wingstop operates approximately 199 franchised units. The SBA 7(a) loan default rate of 0.7% is well below the industry average of approximately 9.4%, indicating strong franchisee financial outcomes.
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
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 (2013-2025). 171 loans across 26 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
Wingstop franchise costs $298,200-$1.0M to open with a $25,000 franchise fee. 6% royalties.
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