A&W Franchise Analysis
A&W is graded based on our most recent FDD research!
Franchise Info
A&W franchise offers a quick-service restaurant featuring A&W Rootbeer and Burgers.
How much does an A&W business cost to open?
A&W has an initial franchise fee of up to $30,000, with a overall initial investment range of $886,000 to $1,397,000.
- Initial Franchise Fee: $30,000
- Total Investment: $886,000 to $1,397,000
- Working Capital: $30,000 to $150,000
- Royalty Fee: 5.0%
The initial cost of any franchise opportunity includes many fees. Explore this investment opportunity to better understand the initial costs required to buy an A&W, such as franchise fees, leasehold improvement costs, grand opening marketing, and furniture and fixtures purchases. It should be noted that, franchisors are required to disclose all initial fees. These fees include those that are actually paid when signing the franchise agreement and commitments to fees you are required to pay.
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How much does an A&W owner make?
As with any new business, the franchise owner's salary and the profits from a A&W business depends on a lot of different factors. One way to validate the potential revenues or profits earned from a A&W franchise investment is to review the franchisor's Item 19 within their Franchise Disclosure Document. Typically, profits and owner's income are equitable to the size of the investment and number of locations you purchase. Demand for your products, your labor costs, commercial lease rates and several other variables also play a huge role in your profit margin and your personal salary
For additional information and franchise specific on the profits of an A&W franchise opportunity, unlock this franchise
How many franchise locations does A&W franchise system have?
As of the 2020 Franchise Disclosure Document, there are 565 franchised A&W locations across the United States.
Did you know there are over 3,000 franchise opportunities across the United States. More than 80% have less than 10 locations.
Are there any A&W franchise opportunities near me?
Based on 2020 FDD analysis, A&W has franchised locations in 41 states. There may be no locations in several states as each franchise company plans their growth strategy differently. Specific states also require franchise companies to register their franchise opportunity and file their Franchise Disclosure Document (FDD) with state examiners prior to offering franchise opportunities to residents in that state. These registration states have examiners review a franchisor's FDD to ensure it satisfies state regulatory requirements. In addition to registration states, additional states have enacted supplemental franchise or business opportunity laws that require franchise companies to provide their franchise within the state. In most instances the filing is a notice within the state. Unlike franchise registration states, the franchise filing states do not examine a franchisor's FDD.
Based on the data collected this franchise opportunity is growing into new locations and might be available in your city.
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Last Reviewed: 2020
Sector: Quick Service Restaurants
Category: Burgers
A&W Franchise INFORMATION
20 Years
5 Years
734
565
5.0%
5.0%
EXTRA INFORMATION
Do they provide any initial training and opening assistance?
Yes, they have an initial training program of 80 hours. This includes 40 hours of classroom training, 40 hours of on-the-job training, and 0 hours of online training. In their FDD they outline who's in charge of the training. Unlock to find out more.
| Online | 0 |
|---|---|
| On-the-Job | 40 |
| Classroom | 40 |
| Total | 80 |
Do they provide Territory Rights?
A&W does NOT offer territory protections. For an explanation of territory rights, unlock this franchise for important details.
Do they have marketing and technology support in place?
Yes, A&W offers comprehensive support for franchisees. Unlock this franchise to find out more.
How long ago did A&W start franchising?
They began franchising in 1950. The average Burgers franchise began franchising in 2004.
Do they offer lending options?
No, but you can click here to fill out our affordability calculator and understand your financing options.
Unlock this franchise for instant access to our research findings, including:
- Growth projections
- Turnover projections
- Financial transparency
- Initial and renewal terms
- Royalties and ongoing fees
- Important Franchise FAQs
- Our grade and free access to consult with a franchising expert
- What are the historical franchisee earnings?
- Do they provide Veteran or First Responder discounts?
- Do they use public figures to promote their franchise?
- Do they disclose any bankruptcies?
- Are they affiliated with any other franchise brands or private equity investment groups?
- How many new outlets have they opened in the last 5 years?
- How many franchised outlets have closed in the last 5 years?
- How many new outlets have they sold in the last 5 years?
- How many franchised outlets have terminated in the last 5 years?
- Do they operate any corporate or affiliate owned outlets?
- How long is their initial and renewal term lengths?
- How do they solve franchise disputes?
- How long has the franchisor been in business?
- Are they expanding internationally?
- How are the royalty, advertising and marketing funds administered and managed by the franchisor?
- How are territories defined?
- What is the role of technology in the operation of the franchise?
- Why has new franchise outlet growth been so low?
- What are the critical requirements for operating a successful franchised location in this system?
- Are you required to work in the outlet or is this a passive investment opportunity?
- Will they refund the franchise fee under certain circumstances?