Burger King franchises are independently owned and operated restaurants licensed by Burger King Company LLC, a subsidiary of Restaurant Brands International (RBI), to use the Burger King brand, trademarks, and operating system. The franchise model is the primary method by which Burger King operates its global network of quick-service restaurants.
Overview
Burger King was founded in 1954 in Miami, Florida, by James McLamore and David Edgerton. The company traces its earlier roots to Insta-Burger King, founded in Jacksonville, Florida, in 1953. McLamore and Edgerton acquired a license to operate an Insta-Burger King franchise and opened their first location on December 4, 1954, in Miami. After Insta-Burger King ran into financial difficulties, the two franchisees purchased the company in 1959 and renamed it Burger King. From its early years, the company expanded primarily through franchising.
As of the end of 2024, Burger King had 19,732 restaurants worldwide across more than 100 countries and U.S. territories. The vast majority of these locations are franchised. According to RBI's Trending Schedules, global system-wide sales for Burger King in 2024 were approximately $27.728 billion. The company reports that over 11 million guests visit a Burger King restaurant each day globally.
Franchise Structure
Burger King's franchise system is structured around a standard franchise agreement. Franchisees are granted the right to operate a Burger King restaurant using the brand's proprietary recipes, trademarks, and operational procedures. The franchisor provides training, marketing support, supply chain access, and ongoing operational guidance.
Franchise Requirements
According to Burger King's official franchising website, the ideal franchisee candidate should:
- Have previous experience in the multi-unit restaurant industry, preferably in the quick-service restaurant (QSR) burger segment.
- Have a proven record of operational excellence.
- Have a minimum net worth of $1 million and at least $500,000 in liquid assets.
- Be willing to personally guarantee the obligations outlined in the franchise agreement.
- Live in the market being served and actively engage with the local community.
Costs and Fees
Based on the Franchise Disclosure Document (FDD) and publicly available data, the financial structure of a Burger King franchise includes:
- Initial Franchise Fee: $10,000 (one-time payment upon signing the franchise agreement).
- Total Initial Investment Range: Approximately $1,790,800 to $4,194,700 for a traditional restaurant. This range covers build-out, equipment, signage, inventory, and working capital. For non-traditional locations (e.g., co-brand, food court, inline/endcap), the estimated investment ranges from approximately $363,400 to $1,965,200.
- Royalty Fee: 4.5% of gross sales, paid monthly.
- Marketing/Advertising Fund Contribution: 4% of monthly gross sales, contributed to the national brand fund.
- Transfer Fee: $2,000 (if the franchise is transferred to a new owner).
Financial Performance (Item 19)
The FDD includes a financial performance representation (Item 19). Based on a sample of 80 units, the reported average annual revenue was approximately $1.3 million, with a median revenue of approximately $1.4 million. Revenue ranged from $397,000 to $1.1 million. Past financial performance does not guarantee future results, and individual results vary.
Franchise Process
The application process, as described by Burger King's franchising website, follows these general steps:
- Apply Online: Submit an Initial Inquiry Form via the online portal.
- Discovery Call: A call with the business development team to discuss background and the franchise opportunity.
- Market Alignment Call: Review of opportunities that align with the applicant's goals and geographic preferences.
- Leadership Introduction: Meetings with field and leadership team members.
- Conditional Approval: Subject to background checks and additional diligence.
Final approval is contingent upon completion of all diligence items.
System Size and Growth
Burger King's global restaurant count has grown steadily:
- 2022: 18,969 restaurants
- 2023: 19,384 restaurants
- 2024: 19,732 restaurants
According to franchise data aggregators, as of 2024–2025, Burger King had approximately 7,294 franchised locations in the United States (a figure that may reflect U.S.-only counts, while the global total of 19,732 includes all international locations). The system is entirely franchised, with no company-owned units reported in recent FDD filings.
Ownership and Corporate Structure
Burger King is owned by Restaurant Brands International (RBI), a Canadian-based multinational fast-food holding company. RBI also owns Tim Hortons, Popeyes Louisiana Kitchen, and Firehouse Subs. RBI was formed in 2014 when 3G Capital, a Brazilian investment firm, merged Burger King with Tim Hortons. Burger King Company LLC is the franchisor entity responsible for the Burger King brand within RBI.
Legal and Regulatory Context
Franchise offerings are regulated in the United States by the Federal Trade Commission (FTC) and various state franchise registration laws. Prospective franchisees must receive a Franchise Disclosure Document (FDD) before any offer or sale of a franchise. The FDD contains detailed information about the franchisor, fees, financial performance, litigation history, and the franchise agreement terms. As of recent filings, the FDD lists one pending litigation action and no bankruptcy history for the franchisor.
International Franchising
Burger King operates in more than 100 countries and U.S. territories through a combination of master franchise agreements, joint ventures, and directly franchised locations. International franchise opportunities are managed separately from domestic U.S. franchising. Master franchisees typically hold the rights to develop and sub-franchise the brand within a specific country or region.
