Habit Burger Grill Franchise FDD, Profits & Costs (2025)

Founded in 1969, The Habit Burger Grill was established to offer high-quality, freshly made meals at reasonable prices.

The restaurant is known for its signature Charburgers, cooked on an open flame, along with a variety of sandwiches and salads featuring premium ingredients.

The Habit began franchising in 2014 and operates from its headquarters in Irvine, California. Its acquisition by Yum! Brands in 2020 facilitated further expansion, leveraging Yum’s global resources to increase its presence both domestically and internationally.

Today, The Habit maintains over 300 locations worldwide.

Initial Investment

How much does it cost to start a The Habit Burger Grill franchise? It costs on average between $1,466,000 – $1,849,000 to start a The Habit Burger Grill franchised restaurant.

This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the type of restaurant you choose, the location, and whether the franchisee chooses to lease or purchase the property.

Type of ExpenditureAmount
Initial Franchise Fee$35,000
Real Estate/3 Months’ Rent$36,000 – $54,000
Security Deposits$15,000
Construction, Remodeling, Leasehold Improvements, and Decorating Costs$550,000 – $725,000
Furniture, Fixtures, Other Fixed Assets, and Equipment$540,000 – $650,000
Signage$70,000 – $85,000
Opening Inventory and Supplies$40,000 – $50,000
Grand Opening Advertising$10,000
Brand Standard Training Expenses (out of pocket costs)$60,000 – $75,000
Miscellaneous Opening Costs$20,000 – $30,000
Additional Funds – 3 months$90,000 – $120,000
Total Estimated Initial Investment$1,466,000-$1,849,000

Average Revenue (AUV)

How much revenue can you make with a The Habit Burger Grill franchise? A The Habit Burger Grill franchised restaurant makes on average $2,034,000 in revenue (AUV) per year.

Here is the extract from the Franchise Disclosure Document:

The Habit Burger Grill fdd item 19 extract

This compares to $1,548,000 yearly revenue for similar burger franchises. Below are 10 The Habit Burger Grill competitors as a comparison:

Habit Burger Grill competitors

Habit Burger Grill Franchise Disclosure Document

Frequently Asked Questions

How many The Habit Burger Grill locations are there?

As of the latest data, The Habit Burger Grill operates 366 locations across the United States, with a significant majority—307 locations—being company-owned, while 59 are franchised units.

What is the total investment required to open a The Habit Burger Grill franchise?

The total investment required to open a The Habit Burger Grill franchise ranges from $1,466,000 to $1,849,000.

What are the ongoing fees for a The Habit Burger Grill franchise?

The Habit Burger Grill franchise requires ongoing fees, including a 5.5% royalty fee on gross sales and a marketing fee of up to 4.5% of gross sales. These fees support brand consistency, operational standards, and national marketing efforts, enhancing the franchise’s competitive presence.

What are the financial requirements to become a The Habit Burger Grill franchisee?

To qualify for a The Habit Burger Grill franchise, candidates need a minimum net worth of $3 million and at least $1 million in liquid capital. These requirements ensure that franchisees have the financial resources to manage startup costs, operational expenses, and future growth opportunities effectively.

How much can a The Habit Burger Grill franchise owner expect to earn?

The average gross sales for a The Habit Burger Grill franchise are approximately $2.03 million per location. Assuming a 15% operating profit margin, $2.03 million yearly revenue can result in $304,500 EBITDA annually.

Who owns The Habit Burger Grill?

The Habit Burger Grill is owned by Yum! Brands, Inc., which acquired the company in 2020. Yum! Brands, a global restaurant corporation, also owns other well-known chains, including Taco Bell, KFC, and Pizza Hut. This acquisition allowed The Habit Burger Grill to leverage Yum!’s extensive resources, supporting its continued growth and expansion in the fast-casual dining market.

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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