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Updated RecentlyA & W Restaurants vs Farmer Boys Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of A & W Restaurants vs Farmer Boys including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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| Investment | $269,000 - $1,213,000 | $1,042,500 - $2,486,500 |
| Franchise Fee | $15,000 - $30,000 | $45,000 |
| Royalty Fee | 5% | 5% |
| Advertising Fee | 5% | 3% |
| Year Founded | 1919 | 1981 |
| Year Franchised | 1925 | 1997 |
| Term Of Agreement | 20 years | 20 years |
| Term Of Agreement | 20 years | 20 years |
| Renewal 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 | No/No | No/Yes |
| Start-up Costs | No/No | No/Yes |
| Equipment | No/No | No/Yes |
| Inventory | No/No | No/No |
| Receivables | No/No | No/No |
| Payroll | No/No | No/No |
Training & Support |
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| Training | Before your restaurant opens, we provide six weeks of intensive in-store training for you and, in some instances, your key management people. The training takes place at an established A&W restaurant, usually in the same province where the restaurant will be located. From being shown the secrets of battering and breading A&W's handmade onion rings, to learning detailed information about how to create an efficient operation and positive work environment, you'll gain the knowledge and the confidence to achieve success in your own restaurant. | On-The-Job Training: 480 hours Classroom Training: 60 hours |
| Support | The moment you become an A&W franchisee, you can expect complete and unrivaled support for your business and the A&W brand, all with the sole purpose of helping you to succeed. Operational support As your A&W restaurant settles into its regular routine, A&W business managers provide ongoing guidance with operational aspects of your business such as staffing, cost management and local marketing. Our business managers are an extraordinarily experienced team of senior managers whose job is to help you succeed. You'll also be invited to attend regular regional meetings and national conventions, where you'll gain new knowledge and share ideas with senior management and other A&W franchisees. In no time, you'll become a part of our energetic, results-oriented A&W team. Internal communication With over 50 years of experience as a franchise company in Canada, we have learned that communication is a crucial element of any successful franchise organization. The A&W Xchange, a private intranet site developed exclusively for the use of A&W operators and Head Office personnel, provides an outstanding vehicle for daily, real-time communication within the A&W family. You will also have access to a toll-free line for use in contacting Head Office. Internal standards boards and councils Decisions about ongoing operating standards and menu content are conducted through our Standards Board, an executive body comprised of franchisees elected in their region and a number of senior corporate managers. In a similar way, decisions about advertising expenditures and national promotional programs are made by a group of elected franchisees and corporate personnel who serve on our National Advertising Advisory Council. These two bodies give strong evidence of how, by working together, we develop marketing and operational programs that will help grow your business. | Purchasing Co-ops Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform |
| Marketing | Local store marketing is not just a catchphrase around the A&W family, but a way of life. Each restaurant is unique, and will have a marketing plan tailored to fit it. We understand that there is no one-size-fits-all approach. The A&W Marketing Team and each restaurant's Franchise Growth Leader work one-on-one with Franchise Partners to help develop a marketing strategy, budget, and implementation tactics. | Co-op Advertising Ad Templates Regional Advertising Social media SEO Loyalty program/app |
| Operations |
Franchisees required to buy multiple units/master licenses
Absentee ownership of franchise is NOT allowed. |
20% of all franchisees own more than one unit Number of employees needed to run franchised unit: 30 Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)
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Expansion Plans |
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| US Expansion | - | Yes |
| Canada Expansion | No | No |
| International Expansion | Yes | No |
Company Overviews
About A & W Restaurants
In 1919, our founder Roy Allen set up a roadside drink stand in Lodi, California to introduce a new beverage called "root beer" at a parade honoring returning World War I veterans. With his creation an instant success, Allen and partner Frank Wright named the beverage we know today as A&W Root Beer. Allen and Wright started franchising roadside stands, making A&W Restaurants the oldest franchise restaurant chain in the country.
We are proud to stick to our roots and honor the past, while still growing with the changing times. We are committed to making it right, every time. Laughter, simple pleasures, and celebrations are all vital to A&W.
Ask around, everyone has an A&W memory: first dates, baby mugs of Root Beer, high school sweethearts, and that perfect burger.
We're more than just a place for a frosty mug of Root Beer and a great meal.
We're A&W Restaurants, and we're inviting you to be part of something bigger than just owning a business. We're inviting you to be part of the A&W family. Create your very own A&W memories for yourself and your community.
Consider this a unique opportunity to join a 96-year-old iconic American brand being run with the entrepreneurial spirit of a startup company. Since December 2011, when A&W was purchased by a partnership of domestic and international franchisees, A&W set its sight on becoming a world class franchise organization.
Over the last 3 years, we've invested our resources in defining a competitive brand strategy that impacts all consumer touch points and has us well-positioned to capitalize on our heritage while remaining relevant to today's consumer.
From new menu launches like our delicious Hand-Breaded Chicken Tenders and right-sized Mini Polar Swirls to our flexible localized marketing strategies, we are committed to innovation that will bring us another successful 101 years.
The total investment necessary to begin operation, not including rent or
land costs, is $886,000 to $1,397,000 for a Freestanding Restaurant;
416,000 to $977,000 for a Inline Restaurant; and $276,000 to $680,500
for a Captive Restaurant. This includes $15,000 to $30,000 plus an
additional $35,000 if you agree to develop 3 restaurants or $50,000 if
you agree to develop 5 restaurants that must be paid to the franchisor
or its affiliates.
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#7 in Canada's Top franchises.
In Franchise Business Reviews Top 200.
#290 in Franchise 500 for 2020.
About Farmer Boys
During the 1970s, brothers Makis and Chris Havadjias worked in restaurants to earn money for college. They helped the owners of one of those restaurants rebuild the establishment, and later bought it. With the experience they gained at that first restaurant, the brothers bought a poorly performing restaurant in Perris, California, that they built into Farmer Boys. With the help of their three other brothers, the Havadjias expanded Farmer Boys throughout Riverside and San Bernardino counties in Southern California. Each location serves hamburgers, sandwiches, salads and a full breakfast menu. The company began franchising in 1998.
#128 in Franchise 500 for 2021. Not ranked in 2020.