Bubbakoo’s Burritos Franchise AUV, Costs & Stats (2023)
Among all the different Mexican-style restaurant franchises, Bubbakoo’s Burritos is a recent chain that has expanded aggressively over the past few years. Since 2015, the franchise went from 1 restaurant up to 86 today..!
So what’s behind such numbers? We think Bubbakoo’s Burritos is so popular among franchisees simply because it’s an incredibly profitable business (at least, on paper). Let us explain:
Indeed, not only the franchise is affordable ($411,000), but its Average Unit Volume is also high ($892,000 per year) resulting in a very attractive payback (5 years as per our estimates).
In this article we’re looking at Bubbakoo’s Burritos and its Franchise Disclosure Document to find out how much it (really) costs, and how much money you can realistically make as a franchisee. Let’s dive in!
Key stats
| Franchise fee | $35,000 |
| Royalty fee | 6.0% |
| Marketing fee | 4.0% |
| Investment (mid-point) | $411,000 |
| Average sales | $892,000 |
| Sales to investment ratio | 2.2x |
| Payback period | 5 years |
| Minimum net worth | $500,000 |
| Minimum liquid capital | $250,000 |
Bubbakoo’s Burritos Franchise Business Plan
All the stats: startup costs, profits, breakeven, etc.
5-year financial projections built with the FDD
Excellent 4.8/5 based on 70 reviews
About Bubbakoo’s Burritos
Bubbakoo’s Burritos is a chain of burrito restaurants based in Wall Township, New Jersey.
It serves a variety of customized dishes such as burritos, taco bowls, tacos, quesadillas and nachos. In addition, Bubbakoo’s Burritos offers its signature dish, the Chiwowa, which is a panko-fried rice ball covered in nacho cheese and other toppings.
Bubbakoo’s Burritos was founded by Paul Altero and Bill Hart in 2008 in Point Pleasant, New Jersey. Their mission was to develop a business that allowed them to create an ideal balance of flavor and freshness paired with fun and opportunity.
Today, Bubbakoo’s Burritos has become a unique business concept offering fresh, high-quality, affordable food to kids, families and seniors with a skater-shore atmosphere as it seeks to open more locations across the country.
Bubbakoo’s Burritos has been franchising since 2015 and currently has 86 locations in the US, 73 of which are franchised and 13 company-owned.
How much does a Bubbakoo’s Burritos franchise cost?
You would need to invest around $411,000 to open a Bubbakoo’s Burritos franchise.
Startup costs
Here’s the full breakdown of costs:
| Type of Expenditure | Low | High |
|---|---|---|
| Initial Franchise Fee | $35,000 | $35,000 |
| Formation Costs | $242,000 | $557,000 |
| Initial Marketing | $5,000 | $5,000 |
| Operating Costs | $34,000 | $75,000 |
| Total | $316,000 | $672,000 |
What is the franchise fee?
The initial franchise fee for a Bubbakoo’s Burritos franchise is $35,000
In addition to the initial franchise fee, you must pay to the franchisor a royalty fee of 6.0% of revenues, as well as a variable marketing fee of 4.0% of revenues.
What’s the AUV of a Bubbakoo’s Burritos franchise?
On average, a Bubbakoo’s Burritos franchise makes $892,000 in revenue per year (the “Average Unit Volume”).
Bubbakoo’s Burritos Franchise Business Plan
All the stats: startup costs, profits, breakeven, etc.
5-year financial projections built with the FDD
Excellent 4.8/5 based on 70 reviews
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