What was the net change in the number of franchised Burger King outlets in 2023?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
| Outlet Type | Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | 2022 | 7,053 | 6,992 | -61 |
| 2023 | 6,992 | 6,640 | -352 | |
| 2024 | 6,640 | 5,524 | -1,116 | |
| Company-Owned | 2022 | 51 | 50 | -1 |
| 2023 | 50 | 138 | +88 | |
| 2024 | 138 | 1,177 | +1,039 | |
| Total Outlets | 2022 | 7,104 | 7,042 | -62 |
| 2023 | 7,042 | 6,778 | -264 | |
| 2024 | 6,778 | 6,701 | -77 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 109–124)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, the net change in the number of franchised Burger King outlets in 2023 was a decrease of 352 locations. At the start of 2023, there were 6,992 franchised outlets, and by the end of the year, this number had dropped to 6,640. This represents a significant reduction in the number of franchised locations within a single year.
For a prospective franchisee, this decrease could signal several potential issues. It may indicate that existing franchisees are not renewing their agreements, are facing financial difficulties, or are choosing to leave the Burger King system for other opportunities. It is important to investigate the reasons behind this net decrease to understand the health and stability of the franchise system. A high number of closures could also affect brand perception and market presence in certain areas.
In contrast to the decrease in franchised locations, the number of company-owned outlets increased substantially during the same period. Company-owned Burger King restaurants increased by 88, from 50 at the start of 2023 to 138 by the end of the year. This could indicate a strategic shift by Burger King towards more company-operated locations, which might impact the support and resources available to franchisees.
Prospective franchisees should carefully consider these trends and ask Burger King about the reasons for the decrease in franchised locations and the increase in company-owned locations. Understanding the long-term strategy of Burger King and its impact on franchisees is crucial before making a decision to invest in a franchise.