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Below is an in-depth analysis and side-by-side comparison of Krystal Restaurants vs Burger Hut including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $900,000 - $1,300,000 | $376,092 - And Up |
Franchise Fee | $32,500 | N/A |
Royalty Fee | 4.5% | 4.5% |
Advertising Fee | - | - |
Year Founded | 1932 | 1978 |
Year Franchised | 1990 | 2007 |
Term Of Agreement | 20 years | - |
Term Of Agreement | 20 years | - |
Renewal Fee | $8.1K | - |
Business Experience Requirements |
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Experience | - | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | -/- |
Start-up Costs | No/Yes | -/- |
Equipment | No/Yes | -/- |
Inventory | No/Yes | -/- |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | - | - |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | - |
Marketing | Co-op advertising, Ad slicks, Regional advertising | - |
Operations |
Franchisees required to buy multiple units/master licenses; 94% of all franchisees own more than one unit Number of employees needed to run franchised unit: 30 Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | - |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | - |
International Expansion | No | - |
The Krystal Company is the oldest quick service restaurant chain in the South and the second oldest in the United States. The Chattanooga-based company currently has more than 450 restaurants in Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Texas and Virginia. Founded in 1932, Krystal restaurants have become more than sparkling-clean eateries where friendly employees serve up fresh, delicious food. Krystal has become a cultural icon and an experience that virtually every man, woman and child in the South has shared. Nearly everyone in the region has a Krystal memory. The Krystal brand, and the great food, service, value and setting which it represents, has taken a prominent place in the South's cultural landscape.
In 1978, we had a plan to work in a friendly environment where our guests would be welcomed and always feel comfortable; one that offered quality food at value prices. We wanted to serve food quickly, but not serve fast food. We wanted to serve popular and common food (after all, what's more common than a burger in the USA?) but prepare it in an uncommon way -- with special attention to quality and selection. We wanted our guests to have plenty of fresh choices when it came to condiments. We wanted a place we could be proud of and where we would make lots of new friends!
The original Burger Hut in Chico, California was located just across the railroad tracks from California State University, Chico. Over the years we have consistently provided quick value-packed meals to college students, while helping many work their way through school as employees. As our popularity grew, so did our business, and we opened several other Burger Hut locations nearby.
Today, Burger Hut continues to serve the highest quality food. A family owned and operated restaurant tradition, Burger Hut Burgers takes pride in being a part of the community. Our philosophy remains simple -- provide quality fresh food at reasonable prices and let the guests decide what goes on their burgers.