Wendy’s Franchise FDD, Costs & Fees (2024)
KEY FRANCHISE STATS
All you need to know about this franchise in a snapshot
Initial franchise fee
$55,000
Investment required
$310,000 - $2,829,000
Wendy's: Serving Quality Fast Food with a Signature Square
Founded in 1969, in Columbus, Ohio, Wendy's has grown into a global fast-food chain renowned for its square hamburger patties and commitment to quality. The company, established by Dave Thomas, moved its headquarters to Dublin, Ohio, in 2006.
Wendy's began franchising shortly after its inception, contributing to its expansive presence worldwide. Wendy's menu features a variety of items, including hamburgers, chicken sandwiches, salads, and their signature Frosty desserts.
The brand differentiates itself by using fresh, never frozen beef for its burgers and offering a diverse selection of made-to-order options. This focus on freshness and quality has solidified Wendy's position as a leader in the fast-food industry.
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 Expenditures |
Amount |
Initial Technical Assistance Fee |
$50,000 |
Building |
$582,750 – $2,044,126 |
Equipment |
$415,224 – $547,581 |
Pre-Opening Expenses, Training Expenses, and Additional Operating Funds |
$110,500 – $187,000 |
Total Estimated Initial Investment (If you pay cash for all expenditures) |
$1,108,474 – $2,828,707 |
Total Estimated Initial Investment (If you finance the TAF, Building, and Equipment) |
$310,095 – $715,341 |
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Franchise Disclosure Document
Training
Wendy's provides several types of training and support to franchisees. Here are the details:
- Initial Training Program:
- Conducted for franchisees and their management staff before the opening of the restaurant.
- Covers classroom and on-the-job training, typically lasting 12-16 weeks.
- Includes operational experience and specific training tailored to franchisee needs.
- The Franchisor covers the cost of materials and instructors for the first restaurant, while the franchisee bears the costs for management and crew training.
- Ongoing Training:
- The Franchisor provides regular training, refresher courses, seminars, and annual conferences or conventions to enhance operational standards.
- The franchisee may be required to cover the costs for ongoing and optional training programs.
- Location and Flexibility:
- Training is held at certified locations and tailored to be as close as possible to the franchisee’s operating market.
- Adjustments to training duration and content may be made based on prior relevant experience.
- Technology-Based Training:
- The Franchisor requires the use of systems like "WeLearn" for virtual and field training programs.
- Franchisees must maintain necessary computer systems and internet access to facilitate this.
- Field Monitoring and Support:
- Training progress is monitored by field training managers and franchise operations coaches.
- Periodic inspections and advisory assistance are provided to ensure quality and compliance.
- Additional Costs and Responsibilities:
- Franchisees are responsible for training costs such as wages, transportation, lodging, and other related expenses for their staff.
This robust training framework is designed to maintain consistency and high standards across the franchise network.
Territory Protection
Wendy’s does not offer exclusive territory protection to its franchisees. The agreements typically describe the geographical area where a franchisee may operate but clarify that these rights are non-exclusive.
This means Wendy’s retains the right to develop or license other restaurants within the same territory, including those operated directly by Wendy’s or other franchisees.
While the franchise agreement may specify certain market development responsibilities for the franchisee, such as maintaining good faith efforts to develop the area, Wendy’s explicitly reserves the right to open competing locations or authorize others to do so.
This approach aligns with the company’s goal of maximizing market penetration rather than granting exclusivity to franchisees.