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Updated RecentlyNathan's Famous vs Rally's Hamburgers Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Nathan's Famous vs Rally's Hamburgers including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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| Investment | $43,000 - $1,071,360 | $254,000 - $1,431,000 |
| Franchise Fee | $30,000 | $30,000 |
| Royalty Fee | 5.5% | 4% |
| Advertising Fee | 2% | 4.5% |
| Year Founded | 1916 | 1985 |
| Year Franchised | 1988 | 0 |
| Term Of Agreement | 20 years | - |
| Term Of Agreement | 20 years | - |
| Renewal Fee | 50% of franchise fee | - |
Business Experience Requirements |
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| Experience | - | |
Financing Options |
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| In-House/3rd Party | In-House/3rd Party | |
| Franchise Fees | Yes/No | -/- |
| Start-up Costs | No/No | -/- |
| Equipment | Yes/No | -/- |
| Inventory | Yes/No | -/- |
| Receivables | No/No | -/- |
| Payroll | No/No | -/- |
Training & Support |
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| Training | - | - |
| Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Field operations/evaluations | - |
| Marketing | Co-op advertising | - |
| Operations |
60% of all franchisees own more than one unit Number of employees needed to run franchised unit: 14 Absentee ownership of franchise is allowed. (65% of current franchisees are owner/operators) | - |
Expansion Plans |
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| US Expansion | - | - |
| Canada Expansion | No | - |
| International Expansion | Yes | - |
Company Overviews
About Nathan's Famous
Franchising is a business concept that allows qualified investors to become part of an established, existing “system.” A good way to look at franchising is, you’re in business for yourself, but not by yourself. Strategically, this provides many benefits under a brand name that has consumer awareness and equity.
Nathan’s has taken this basic premise and redefined it to exceed the most stringent business criteria of today’s investor.
Nathan’s offers a wide range of restaurant designs and customized equipment, thereby offering business opportunities to qualified candidates regardless of space constraints or investment limitations.
The estimated initial investment for a BMP Operation ranges from
$43,000 to $86,300, including an initial license fee of $7,500. If you
want to add an “Arthur Treacher’s” BMP Operation to your new or existing
food service establishment, the additional estimated initial investment
will be from $34,404 to $81,486, including an initial license fee of
$7,500.
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#78 in Gator's Top franchises
#286 in Franchise 500 for 2020.
About Rally's Hamburgers
As one of the country’s most recognized brands, Checkers & Rally's is an industry leader with over 30 years of experience and more than 800 restaurants. Our guests' love for our bold flavored and seared burgers, indulgent milkshakes, and Famous Seasoned Fries is driving us to expand in new cities and develop in existing markets across the country. We continue to accelerate with unprecedented growth. Because we put our franchisees first, you can enjoy a business made to last. Come grow with us and learn how we’ve got our franchisees back!
The total investment necessary to begin operation of a Rallys Restaurant (excluding real estate and related
costs) is: $780,000 to $1,431,000 for a new modular design single
drive-thru restaurant; $320,500 to $787,000 for a site built, conversion
or used modular drive-thru restaurant; $259,700 to $648,000 for an
endcap strip-center and gas/convenience restaurant; and $254,000 to
$514,000 for a Non-Traditional, Walmart or in-line restaurant in a
high-density market. This includes $10,000 to $50,000 that must be paid
to the franchisor or an affiliate, plus $10,000 for each additional
restaurant that you agree to develop under a development agreement.
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#11 in Gator's Top franchises.
In Franchise Business Reviews Top 200.