Franchise Fee Breakdown

Initial Franchise Fee (Item 5)

FDD Item 5

Franchise Fee

$25K

Paid at signing, before opening

Industry Average

$38K

Food & Beverage sector avg (351 franchises)

Fee Percentile

13th

Below-average fee vs. peers

FIVE GUYS FRANCHISOR, LLC's franchise fee is below the Food & Beverage industry average of $38K.

Ongoing Royalty & Advertising Fees (Item 6)

FDD Item 6

Royalty Rate

Not disclosed

Ad Fund / Marketing Fee

up to 4% of Gross Sales

Contributed to brand advertising fund

Combined Ongoing Fee Impact

On a hypothetical $500,000 annual revenue unit, a franchisee would pay approximately ad fund contributions each year based on the up to 4% of Gross Sales ad fund rate. These are separate from other operating costs and the initial investment.

Renewal Fee (Item 10)

FDD Item 10

Renewal Fee

Not disclosed

Paid at end of each 10-year agreement term

Agreement Term

10 years

Initial franchise agreement length

Renewal fee not separately itemized in this FDD. Review the full franchise agreement for renewal terms and any applicable fees.

Transfer Fee (Item 17)

FDD Item 17

Transfer Fee

Not disclosed

Charged when selling or transferring your franchise to a new owner

Transfer fee not itemized in this FDD. Contact the franchisor directly for current transfer terms.

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Data shown is extracted from the 2025 Franchise Disclosure Document filed with state regulators. Fees, investment ranges, and other terms may have changed since this filing. Always request the current FDD directly from the franchisor before making any investment decisions. This information is not financial, legal, or investment advice. Full disclaimer.