Burger King vs Smashburger Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Burger King vs Smashburger including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
Investment |
$333,100 - $3,398,600 | $743,130 - $1,404,535 |
Franchise Fee |
$50,000 | $40,000 |
Royalty Fee |
4.5% | 5 - 6% |
Advertising Fee |
4% | 2% |
Year Founded |
1954 | 2007 |
Year Franchised |
1961 | 2008 |
Term Of Agreement |
20 years | - |
Term Of Agreement |
20 years | - |
Renewal Fee |
$50K | none |
Business Experience Requirements |
Experience |
Industry experience General business experience Marketing skills | Smashburger (Smashburger Franchising LLC) is seeking multi-unit development partners domestically and internationally. To be considered, individuals or partnerships must meet the following minimum criteria:
*Demonstrated enthusiasm, drive, and passion and a proven record of success in the restaurant industry
*Five years multi-unit restaurant management experience as an owner and/or operator
*Experience operating a minimum business of 10 or more units
*Minimum financial net worth of $2 million and liquidity of $500,000
*Typical development agreement commitment of 5-20 units
*Operating, real estate and trade area experience in development territory
*Dedicated support team for Smashburger
*Ability to obtain a liquor license (where applicable) |
Financing Options |
|
In-House/3rd Party | In-House/3rd Party |
Franchise Fees |
No/No | -/- |
Start-up Costs |
No/No | -/- |
Equipment |
No/No | -/- |
Inventory |
No/No | -/- |
Receivables |
No/No | -/- |
Payroll |
No/No | -/- |
Training & Support |
Training |
Before the opening of the Restaurant, franchisees must successfully complete the franchisor's training program. The training program is held in Miami, Florida or other locations specified by the franchisor. In-Restaurant Training will be held in various Restaurant locations that have been authorized as Training Restaurants. The franchisor may require additional training programs for individual Owner/Operators or Managing Directors to implement current operations, standards, and procedures and to facilitate the growth and changes of the franchisee. The franchisor also makes available and sometimes requires periodic workshops and seminars for managers, which include management courses and updating of operational skills. The franchisor will provide Pre-opening and Restaurant opening assistance as it deems appropriate. The franchisor also provides continuing operations training programs, which franchisees (as an Operating Partner, Managing Director, Director of Operations, or Managing Owner, as applicable) may be required to attend. For certain training courses, franchisees must pay a course or materials fee to the franchisor or third parties. The franchisor may make changes and revisions to the training program, locations or materials at any time. | - |
Support |
Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations | Real Estate and Site Selection
Lease Approval
Pre-opening
Management Training
Vendors and Equipment
Store Opening Support
Information Technology
Marketing and Public Relations
Operations Support
Purchasing and Distribution |
Marketing |
Co-op advertising, National media, Regional advertising | - |
Operations |
- | - |
Expansion Plans |
US Expansion |
- | - |
Canada Expansion |
No | - |
International Expansion |
Yes | - |
Company Overviews
About Burger King
In 1954, James McLamore and David Edgerton opened the first Burger King restaurant in Miami; selling 18 cent broiled hamburgers and milkshakes. Three years later, the company's signature Whopper was introduced, selling for 37 cents a piece. Today Burger King restaurants serve chicken nuggets, salads, a breakfast menu and kids meals. In 1998, the company opened its 10,000th location in Sydney, Australia.
The franchise granted can be operated at one of three locations and facility types:
- Institutional
Locations: “Institutional locations” include government buildings and
facilities, medical facilities, airports, train and bus stations, sports
facilities, factories, corporate campuses, turnpikes, limited access
toll roads, theme parks, zoos and educational facilities.
- Traditional
Burger King Restaurant Facility: A self-contained, full size Burger
King Restaurant which is located and operated on a site as a
freestanding building or within another building structure such as a
shopping mall. A Traditional Burger King Restaurant does not share any
common areas with any other businesses and serves the standard approved
menu for Burger King Restaurants.
- Non-Traditional Burger King Facility: A Burger King Restaurant may be located at a site which
includes other businesses, such as retail, food service, gas stations,
convenience stores, other franchised businesses or restaurants or other
similar facilities.
#37 in Canada's top franchises.
About Smashburger
Spread the Burger Love and Become a Smashburger Franchisee Today
Smashburger franchisees are proven multi-unit operators, leaders in the industry whose energy, passion and entrepreneurial spirit fuel an eagerness to feed hungry burger lovers.
To be every city's favorite burger place, Smashburger chooses only the best people to be Smashburger franchisees. Our franchise partners are committed to setting a new standard of guest experience. From the taste of the food, to the speed and accuracy of the order, the power of our people to make decisions, the friendly face at the counter and the cleanliness of the restaurant, our Smashburger franchise partners proudly strive to deliver a great guest experience in every restaurant, every time.
Together the Smashburger corporate team and the Smashburger franchisees will quickly make Smashburger every city's favorite burger place.
The Smashburger corporate team is dedicated to ensuring the success of the Smashburger franchisees so Smashburger can become every city's favorite burger place. The Smashburger corporate team has a variety of backgrounds, including operations, real estate, marketing, public relations, human resources, purchasing and information technology. The Smashburger team specializes in helping Smashburger franchisees during pre-opening, grand opening and provides on-going support.
Smashburger succeeds if our franchisees succeed, and we are committed to your success!
The Smashburger team will provide you with the systems, resources and support you need to operate your business successfully.
The total investment necessary to begin operation of a Smashburger
Restaurant is estimated to be $743,130 to $1,404,535. This includes
$41,500 to $71,500 that must be paid to franchisor or its affiliates. If
we grant you area development rights, the total investment necessary to
acquire these rights is estimated to be $20,000 to $480,000 (based on a standard 2 to
25 restaurant development deal, determined by multiplying $20,000 by the
total number of restaurants you agree to develop, less one), all of
which must be paid to franchisor or its affiliates.