Fatburger

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Fatburger

Food & Beverage
Burger

Fatburger Franchise FDD, Costs & Fees (2025)

Fatburger serves juicy and flavorful burgers made with fresh ingredients, providing customers with a satisfying and delicious dining experience.

Founded in 1947 by Lovie Yancey in Los Angeles, Fatburger has earned its reputation as a standout name in the fast-casual burger scene. Originally opened under the name “Mr. Fatburger,” the restaurant was renamed “Fatburger” in 1952 after Yancey took sole ownership. Her mission was clear—create a one-of-a-kind burger joint that combined quality, customization, and a lively atmosphere that drew everyone from locals to Hollywood stars.

Now headquartered in Beverly Hills, California, Fatburger began franchising in 1985 and has since grown into a global brand. Known for its made-to-order burgers crafted with 100% pure lean beef, the chain allows customers to tailor their orders with a variety of sizes and toppings, staying true to its promise of a personalized dining experience.

A pioneer in innovation, Fatburger became the first national fast-casual chain to launch the plant-based Impossible Burger at all U.S. locations in 2018—catering to a growing base of eco-conscious and health-focused diners.

Several Fatburger outlets also partner with sister brands like Buffalo’s Cafe, known for its signature wings, and Hot Dog on a Stick, offering even greater variety for customers seeking more than just a classic burger.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Fee $50,000 – $50,000
Leasehold Improvements; Construction Costs $150,000 – $600,000
Equipment, Decor & Furnishings $160,000 – $600,000
Signage $10,000 – $100,000
Point of Sale Systems (POS) and related tech $16,100 – $38,000
Restaurant Small Wares $10,800 – $17,000
Initial Inventory $7,200 – $10,400
Security Deposits (Utilities, Insurance, etc.) $9,000 – $32,500
Insurance and Bonds $8,000 – $12,000
Rent $3,500 – $20,000
Miscellaneous (legal, accounting, licenses) $14,000 – $25,000
Liquor Licenses and Fees $5,000 – $75,000
Grand Opening & Marketing Materials $7,500 – $10,000
Training $32,500 – $65,000
Additional Funds – three months $25,000 – $40,000
Total $508,600 – $1,694,900
Type of Expenditure Amount
Initial Fee $50,000 – $50,000
Leasehold Improvements; Construction Costs $150,000 – $600,000
Equipment, Decor & Furnishings $160,000 – $600,000
Signage $10,000 – $100,000
Point of Sale Systems (POS) and related tech $16,100 – $38,000
Restaurant Small Wares $10,800 – $17,000
Initial Inventory $7,200 – $10,400
Security Deposits (Utilities, Insurance, etc.) $9,000 – $32,500
Insurance and Bonds $8,000 – $12,000
Rent $3,500 – $20,000
Miscellaneous (legal, accounting, licenses) $14,000 – $25,000
Liquor Licenses and Fees $5,000 – $75,000
Grand Opening & Marketing Materials $7,500 – $10,000
Training $32,500 – $65,000
Additional Funds – three months $25,000 – $40,000
Total $508,600 – $1,694,900

Franchise Disclosure Document

KEY FRANCHISE STATS

All you need to know about this franchise

Started franchising
1990
Franchisees

?

193
+
8%
8%
Franchise fee

?

$50,000
Investment

?

$509,000 - $1,695,000
Revenue (AUV)

?

Undisclosed
Upgrade

$1,080,000

+
n.a.
n.a.
Operating Profit

?

Upgrade

n.a.

Home based

?

No
Upgrade
No
Passive investment

?

No
Upgrade
No
FDD
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Competitors

Below are some of

Fatburger

key competitors in the

Burger

sector.

Franchise
Franchisees
Initial fee
Total investment
Revenue
Upgrade
Gross Profit
Upgrade
EBITDA
Upgrade

193

New
+
8%
8%

$50,000

$509,000

$1,695,000

n.a.

$1,080,000

$xxx,xxx

69.9%

xx%

n.a.

n.a.

xx%

n.a.

266

New
+
-13%
-13%

$25,000

$316,000

$2,695,000

n.a.

$1,729,000

$xxx,xxx

70.5%

xx%

n.a.

20.0%

xx%

n.a.

106

New
+
43%
43%

$40,000

$1,140,000

$2,755,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

93

New
+
2%
2%

$45,000

$610,000

$1,043,000

n.a.

$1,319,000

$xxx,xxx

67.9%

xx%

n.a.

n.a.

xx%

n.a.

12887

New
+
1%
1%

$45,000

$525,000

$2,728,000

n.a.

$3,838,000

$xxx,xxx

71.8%

xx%

n.a.

n.a.

xx%

n.a.

3

New
+
0%
0%

$50,000

$1,223,000

$3,308,000

n.a.

$1,440,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

119

New
+
-16%
-16%

$50,000

$507,000

$1,686,000

n.a.

$1,120,000

$xxx,xxx

71.5%

xx%

n.a.

n.a.

xx%

n.a.

131

New
+
2%
2%

$35,000

$209,000

$703,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

16

New
+
-38%
-38%

$30,000

$755,000

$1,581,000

n.a.

$1,746,000

$xxx,xxx

65.4%

xx%

n.a.

n.a.

xx%

n.a.

2

New
+
100%
100%

$40,000

$1,635,000

$4,888,000

n.a.

$4,337,000

$xxx,xxx

71.3%

xx%

n.a.

n.a.

xx%

n.a.

899

New
+
-11%
-11%

$25,000

$256,000

$591,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

71

New
+
6%
6%

$45,000

$1,056,000

$2,611,000

n.a.

$2,273,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

36

New
+
-12%
-12%

$50,000

$509,000

$1,695,000

n.a.

$877,000

$xxx,xxx

70.3%

xx%

n.a.

n.a.

xx%

n.a.

8

New
+
-56%
-56%

$35,000

$711,000

$1,984,000

n.a.

$2,383,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

71

New
+
-8%
-8%

$40,000

$373,000

$1,186,000

n.a.

$1,009,000

$xxx,xxx

71.6%

xx%

n.a.

9.8%

xx%

n.a.

2

New
+
0%
0%

$40,000

$484,000

$802,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

19

New
+
375%
375%

$35,000

$1,298,000

$1,994,000

n.a.

$1,697,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

362

New
+
-12%
-12%

$30,000

$124,000

$2,132,000

n.a.

$1,061,000

$xxx,xxx

69.0%

xx%

n.a.

12.0%

xx%

n.a.

24

New
+
0%
0%

$35,000

$183,000

$482,000

n.a.

$805,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

65

New
+
-21%
-21%

$40,000

$1,240,000

$2,256,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

29

New
+
190%
190%

$35,000

$411,000

$965,000

n.a.

$1,116,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

5524

New
+
-21%
-21%

$50,000

$363,000

$4,731,000

n.a.

$1,507,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

143

New
+
36%
36%

$35,000

$788,000

$2,160,000

n.a.

$964,000

$xxx,xxx

68.8%

xx%

n.a.

10.1%

xx%

n.a.

7

New
+
133%
133%

$40,000

$401,000

$739,000

n.a.

$1,640,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

2040

New
+
0%
0%

$50,000

$1,911,000

$4,032,000

n.a.

$1,929,000

$xxx,xxx

73.0%

xx%

n.a.

10.2%

xx%

n.a.

213

New
+
1%
1%

$30,000

$299,000

$1,640,000

n.a.

$1,037,000

$xxx,xxx

70.0%

xx%

n.a.

13.6%

xx%

n.a.

5552

New
+
-1%
-1%

$55,000

$393,000

$2,992,000

n.a.

$1,984,000

$xxx,xxx

67.5%

xx%

n.a.

12.2%

xx%

n.a.

61

New
+
17%
17%

$35,000

$1,026,000

$2,859,000

n.a.

$1,802,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

2

New
+
n.a.
n.a.

$40,000

$559,000

$3,168,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

1533

New
+
-3%
-3%

$25,000

$1,303,000

$3,436,000

n.a.

$1,192,000

$xxx,xxx

72.5%

xx%

n.a.

13.0%

xx%

n.a.

990

New
+
12%
12%

$55,000

$2,643,000

$8,573,000

n.a.

$3,694,000

$xxx,xxx

66.5%

xx%

n.a.

12.3%

xx%

n.a.

3144

New
+
-2%
-2%

$15,000

$669,000

$3,141,000

n.a.

$1,501,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

1020

New
+
-1%
-1%

$25,000

$1,303,000

$3,436,000

n.a.

$1,568,000

$xxx,xxx

74.5%

xx%

n.a.

21.2%

xx%

n.a.

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Training

Fatburger provides a comprehensive training program designed to prepare franchisees for the successful operation of a Fatburger restaurant. The training includes both pre-opening preparation and ongoing educational support to maintain brand standards.

  1. Initial Training Program
    Before opening, franchisees must complete a detailed training program that includes instruction on Fatburger’s systems, procedures, and standards. This training ensures that franchisees understand operational procedures, customer service expectations, and the use of equipment and software relevant to running the restaurant.
  2. Onsite Training and Support
    Fatburger provides support at the franchisee’s location around the time of opening to ensure all systems are correctly implemented and staff are effectively trained. This phase includes direct oversight and operational guidance from corporate representatives to solidify learning and ensure compliance.
  3. Ongoing Education and Updates
    Fatburger may also require franchisees to participate in ongoing training sessions, which could be delivered in person, via webinars, or through other digital formats.

Territory Protection

Fatburger offers franchisees a “Protected Territory” as described in their Franchise Agreement. This area typically includes a one-mile radius around the franchised restaurant and is not modified during the term of the agreement.

Within this Protected Territory, Fatburger agrees not to open or authorize another traditional Fatburger restaurant, providing a degree of operational exclusivity for the franchisee.

However, the protection is not absolute. The franchisor reserves broad rights to distribute its products and services through various other channels, including delivery, catering, and online sales, even within the Protected Territory.

Competitors

Burger Village

Burger Village is an organic burger franchise offering grass-fed beef, bison, and vegan burger options with a focus on sustainability.

Franchisees

?

2
+
0%
0%
Investment

?

$484,000 - $802,000
Food & Beverage
Burger

Smalls Sliders

Smalls Sliders specializes in mini cheeseburgers made with fresh ingredients and served quickly, offering a simple yet flavorful menu in a fast-casual setting.

Franchisees

?

19
+
375%
375%
Investment

?

$1,298,000 - $1,994,000
Food & Beverage
Burger

JL Beers

JL Beers is a craft beer and burger franchise offering a casual dining experience. Franchisees benefit from a simple operating model, comprehensive training, and support in marketing and business operations.

Franchisees

?

3
+
0%
0%
Investment

?

$1,223,000 - $3,308,000
Food & Beverage
Burger

Jollibee

Jollibee is a global fast-food chain known for its unique Filipino-inspired menu, offering popular items like Chickenjoy fried chicken, sweet spaghetti, and other comfort food favorites.

Franchisees

?

2
+
100%
100%
Investment

?

$1,635,000 - $4,888,000
Food & Beverage
Burger

Bobby's Burgers by Bobby Flay

Bobby's Burgers by Bobby Flay serves gourmet burgers and sides, offering a flavorful and upscale fast-casual dining experience.

Franchisees

?

2
+
n.a.
n.a.
Investment

?

$559,000 - $3,168,000
Food & Beverage
Burger

Fat Shack

Fat Shack serves a variety of indulgent sandwiches and comfort foods, offering a fun and satisfying dining experience.

Franchisees

?

24
+
0%
0%
Investment

?

$183,000 - $482,000
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