MOOYAH Burgers, Fries & Shakes Franchise Costs $496K – $1.2M (+ 2024 Profits)

MOOYAH Burgers, Fries & Shakes is a prominent name in the fast-casual dining sector, celebrated for its commitment to serving high-quality, made-to-order meals. Established in 2007 in Plano, Texas, MOOYAH has since evolved into a dynamic franchise model, known for its vibrant and inviting restaurant atmosphere, efficient service, and most notably, its dedication to culinary excellence. 

The brand prides itself on offering a menu that features never-frozen beef, hand-cut fries, real ice cream shakes, and freshly baked buns, highlighting its serious approach toward the quality and freshness of their food.

MOOYAH began franchising in 2017, expanding its footprint while maintaining its core values of quality food and exceptional customer service. The franchise model is designed to attract individuals who share a passion for the brand’s ethos, offering comprehensive support from site selection to construction, and ongoing operational and marketing guidance.

Type of Expenditure	Amount
Initial Franchise Fee	$40,000
One-Time Extension Fee of Possession Deadline	$0 – $1,000
Rent and Security Deposit	$5,632 – $15,000
Leasehold – Improvements	$273,000 – $509,000
Furniture, Fixtures, Equipment, and Signage	$86,645 – $425,000
Initial Training Costs	$17,000 – $21,665
Computer Hardware and Software	$13,324 – $30,017
Initial Inventory/ Supplies	$9,000 – $18,000
Uniforms	$1,000 – $2,000
Professional Services	$1,000 – $5,500
Grand Opening Promotional Expenses	$8,000 – $12,000
Insurance	$617 – $3,000
Licenses and Permits	$700 – $6,000
Additional Funds – for initial 3-month period	$40,000 – $80,000
TOTAL	$496,000 – $1,168,000

Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.

Initial Franchise Fee

The Initial Franchise Fee for signing a single Franchise Agreement is $40,000. This fee is earned by MOOYAH upon signing the Franchise Agreement.

Development Fee

For those signing an Area Development Agreement, the Development Fee is $25,000 for each franchise beyond the first, typically resulting in a $50,000 fee for committing to three franchises.

Royalty Fee

The Royalty Fee is 6% of Gross Sales, payable weekly. This fee is subject to change based on certain incentives or conditions.

Advertising Fee

Franchisees must pay an Advertising Fee of 3% of Gross Sales, also payable weekly. This fee contributes to an advertising fund administered by MOOYAH.

Technology and Support Fee

Currently set at $225 per month, this fee covers the right to use mandated technology. It can range between $225 and $550 per month and is subject to increase at MOOYAH’s discretion.

Audit Fee

If an audit reveals an understatement of Gross Sales by more than 2%, the franchisee must cover the audit costs plus an under-reporting fee equal to 100% of the overdue amount.

Interest on Late Payments

Interest accrues on late payments at 10% of the past-due amount, increasing to 18% if the payment is more than 45 days late.

Transfer and Renewal Fees

A Transfer Fee for the Franchise Agreement is 50% of the then-current initial franchise fee, and the Renewal Fee for continuing the franchise agreement is $5,000.

Franchise Pros and Cons

The Pros:

• Pre-opening training: The brand offers its franchisees extensive training to equip them with knowledge about its procedures and operations. Its management and staff training program consists of 175 on-the-job hours of training and 26 classroom hours.
• Marketing support: The franchisor has a vibrant marketing and advertising strategy. Franchisees benefit from national media, regional advertising, loyalty program apps, website development, social media, and local store promotional campaigns to create awareness and public relations.
• Franchise support: With an experienced management team, the brand offers its franchise owners systems and guidance on how to establish and run a successful restaurant. Franchisees also get professional advice on best management practices from a network of successful franchise owners.
• Real estate and construction support: The brand helps its franchisees identify a convenient business location in terms of high traffic and future potential growth. Also, it provides them with restaurant designs, layout plans, construction, and lease negotiations.
• Ongoing operational support: MOOYAH Burgers, Fries & Shakes continues to support and mentor its franchisees after the grand opening to ensure that operations run smoothly. It offers them field operations, meetings and conventions, periodic franchise reviews, accounting and financial coaching, security and safety procedures, and annual meetings.
• Absentee ownership allowed: The MOOYAH Burgers, Fries & Shakes franchise presents a passive investment business opportunity. Franchisees can operate the franchise alongside their jobs and other obligations.
• Exclusive territory protection: The franchisor grants its franchisees the right to operate in a fixed area development market defined in its franchise agreement. It does not authorize any other franchises or operate competing channels or brands in the allocated area.

The Cons:

• No direct financing: The brand does not offer direct or indirect franchise financing for start-up costs, equipment, inventory, or trade fixtures.
• Not a part-time business: The franchise is not a part-time or side business. Franchisees must operate on a full-time basis following the franchisor’s operating hours.
• Competition: The brand faces stiff competition from well-established brands such as Burger King, Wendy’s, Sonic Drive In, Johnny Rockets or BurgerFI to name a few.

How to open a MOOYAH Burgers Fries & Shakes franchise

Opening a MOOYAH Burgers, Fries & Shakes franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a MOOYAH Burgers, Fries & Shakes franchise.

1. Research and Self-Assessment

• Begin by thoroughly researching the MOOYAH franchise, including its business model, culture, and market position.
• Assess your own qualifications, including experience in the restaurant industry, financial capabilities, and business acumen.

2. Initial Inquiry and Application

• Express your interest through an initial inquiry form available on the MOOYAH franchise website.
• Complete the application process by providing detailed information about your experience, financial status, and business plan.

3. Financial Qualifications

• Ensure you meet the financial requirements, which include a specified minimum net worth and liquid capital.
• Understand the investment costs, including the franchise fee, equipment, inventory, and other start-up expenses.

4. Approval Process

• Participate in the approval process, which may involve interviews, assessments, and a review of your business plan by the MOOYAH franchising team.
• This process can take several months and involves a detailed evaluation of your qualifications and business proposal.

5. Training and Support

• Once approved, undergo comprehensive training provided by MOOYAH, covering operations, management, customer service, and other key areas.
• Take advantage of the ongoing support offered by MOOYAH, including operational guidance, marketing strategies, and access to proprietary systems and technologies.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

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