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Roy Rogers Restaurants Franchise Costs $755K – $1.58M (+ 2024 Profits)

Roy Rogers Restaurants is a fast-food franchise specializing in roast beef, burgers, and fried chicken. Established in 1968, the brand began franchising in 1980 when the first franchise was opened in Frederick, Maryland, where the company’s headquarters are still based.

The franchise is known for its Fixin’s Bar, where customers can personalize their meals with various fresh toppings. This customization, combined with a commitment to quality and adapting to new dining trends like drive-thru and delivery services, keeps Roy Rogers competitive in the quick-service restaurant market.

Roy Rogers supports its franchisees with adaptable restaurant models suitable for different locations and ongoing leadership guidance. The company is also focused on growth, particularly in the Mid-Atlantic region of the United States, and encourages operators to expand their business through multiple units.

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Initial investment

Type of ExpenditureAmount
Initial Franchise Fee$30,000
Real Estate Leasing$7,500 – $12,500
Leasehold Improvements$688,000 – $842,000
Furniture, Fixtures, Fixed Assets, and Smallwares$73,000 – $88,700
Equipment$210,000 – $247,000
Initial Inventory$12,000 – $18,000
Grand Opening Marketing$10,000
Insurance$10,750 – $15,750
Signage$56,000 – $94,000
Training$41,000 – $55,000
Office Equipment and Supplies$4,000 – $6,500
Business License and Permits$8,000 – $12,000
Professional Fees$32,000 – $75,000
Security/Utility Deposits$3,000 – $4,500
Additional Funds (three months)$50,000 – $70,000
Total Estimated Initial Investment*$1,235,000 – $1,581,000
* for a New Construction Restaurant

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.

Franchise fees & Royalties

Initial Franchise Fee

When you sign the Franchise Agreement, you must pay to us an initial franchise fee of $30,000 for the right to establish a single Restaurant under that agreement. The Initial Franchise Fee is non-refundable and fully earned when you sign the agreement.

Royalty Fee

The royalty fee is 5% of Gross Sales, payable each month on or before the tenth business day, calculated on the Gross Sales for the prior month.

Marketing Contribution

The marketing contribution can be up to 3% of Gross Sales, due at the same time as the royalty. This contribution supports system-wide marketing and advertising efforts to benefit all franchises.

Transfer Fee (Area Agreement)

A fee of $10,000, plus an additional $5,000 for each restaurant that is required to be operated under the Area Development Agreement for which there is not an executed Franchise Agreement, is due at the time of transfer.

Interest on Overdue Amounts

Interest on overdue amounts is charged at a rate of 1.5% per month on the underpayment. This interest starts to accrue from the date the payment was originally due and continues until the payment is made.

Renewal Fee

Upon renewal of the Franchise Agreement, you must pay a renewal fee equal to the then-current Initial Franchise Fee. This fee is required to continue the franchise relationship under a new agreement that may have updated terms and conditions.

Find the most profitable franchises

Access the (only) database of franchise profit stats. For franchisees, franchise brokers and investors.

✅ Download Franchise Disclosure Documents

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How to apply

1. Research Roy Rogers Franchise

  • Start by gathering as much information as possible about Roy Rogers Restaurants and its franchising options.
  • Understand the brand’s market presence, growth trajectory, and customer demographics.
  • Assess how Roy Rogers differentiates itself from other fast-food franchises.

2. Review the Franchise Disclosure Document (FDD)

  • Obtain the Franchise Disclosure Document, which contains vital details about the franchise, including financial performance, legal issues, and obligations.
  • Carefully review the FDD to understand the terms of the franchise agreement, fees, and the support offered by the franchisor.

3. Evaluate Financial Requirements

  • Review the financial requirements outlined in the FDD, including initial franchise fees, ongoing royalties, and advertising fees.
  • Determine your financial capacity to meet these requirements and consider your funding options, such as loans or partnerships.

4. Site Selection and Approval

  • Work with Roy Rogers’ corporate team to identify and approve a suitable location based on demographics, market research, and territory rights.
  • Evaluate the proposed sites for accessibility, visibility, and potential customer base.

5. Complete Training Programs

  • Participate in mandatory training programs provided by Roy Rogers, which may include operational training, management courses, and customer service protocols.
  • Ensure that you and your management team understand the operational standards and brand values of Roy Rogers.

6. Secure Financing

  • Finalize the funding for your franchise. This could involve securing loans, dipping into personal savings, or collaborating with investors.
  • Ensure that all financial dealings are transparent and conform to the terms agreed upon with the franchisor.

7. Sign the Franchise Agreement

  • Once you have completed all preliminary steps and met all the requirements set by Roy Rogers, you can sign the franchise agreement.
  • This formal agreement will detail your rights and responsibilities as a franchisee, including support from the franchisor, operational requirements, and legal obligations.

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.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

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