Whataburger Franchise FDD, Profits & Costs (2025)
Whataburger was founded in 1950 by Harmon Dobson as a small burger stand in Corpus Christi, Texas. It quickly expanded, opening its first franchise in 1953.
With over 1,000 locations across 15 states, Whataburger operates both corporate-owned and franchised restaurants. The franchise plans to expand into states like Nevada and South Carolina.
Known for its made-to-order burgers and iconic orange-and-white A-frame design, Whataburger offers a 24/7 customer experience.
The menu has grown to include breakfast, chicken dishes, and sandwiches. Embracing technology, Whataburger offers curbside pickup, delivery, and online ordering through its app.
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Initial Investment
How much does it cost to start a Whataburger franchise? It costs on average between $1.2 million – $3 million to start a Whataburger 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.
Here are a few competitors of Whataburger in comparison and their initial investment:
Average Revenue (AUV)
How much revenue can you make with a Whataburger franchise? A Whataburger franchised restaurant makes on average about $3,500,000 in revenue (AUV) per year.
Here are a few burger franchise franchises in comparison and their yearly revenue:
Frequently Asked Questions
How many Whataburger locations are there?
As of the latest data, Whataburger has over 900 locations across the United States, primarily located in the southern states, the majority of which are company-owned, with a smaller portion being franchised.
The company has historically operated with a centralized, company-owned model and has only recently started offering more franchising opportunities in specific regions.
What is the total investment required to open a Whataburger franchise?
The total investment required to open a Whataburger franchise ranges from $1.2 million – $3 million.
What are the ongoing fees for a Whataburger franchise?
For a Whataburger franchise, ongoing fees include a royalty fee of 4-5% of monthly gross sales and a marketing fee of 2-2.5% of monthly gross sales. These fees cover brand usage, support services, and advertising to maintain and grow brand recognition.
What are the financial requirements to become a Whataburger franchisee?
To become a Whataburger franchisee, the financial requirements include having a minimum net worth of $1.5 million and at least $500,000 in liquid capital.
These financial criteria are in place to ensure that potential franchisees have the financial stability and resources necessary to support the initial investment and ongoing operations of the franchise.
How much can a Whataburger franchise owner expect to earn?
The average gross sales for a Whataburger franchise are approximately $3.54 million per location. Assuming a 15% operating profit margin, $3.54 million yearly revenue can result in $531,000 EBITDA annually.
Who owns Whataburger?
Whataburger is owned by BDT Capital Partners, a Chicago-based investment firm. In 2019, the Dobson family, who founded Whataburger in 1950 and owned the company for nearly 70 years, sold a majority stake to BDT Capital Partners.
Despite this change in ownership, the Dobson family retains a minority interest, and Whataburger’s headquarters remain in San Antonio, Texas. The move was aimed at supporting the brand’s expansion and growth strategies.
Disclaimer
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