How many Carls Jr. franchise transfers occurred in California during 2024?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
| State | Year | Number of Transfers |
|---|---|---|
| CA | 2023 | 81 |
| 2024 | 10 | |
| 2025 | 0 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)
What This Means (2025 FDD)
According to Carls Jr.'s 2025 Franchise Disclosure Document, there were 10 franchise transfers in California during 2024. This information is based on data collected up to January 27, 2025, which marks the end of Carls Jr.'s fiscal year. This number reflects transfers of restaurants from existing franchisees to new owners, excluding transfers back to Carls Jr. itself or its affiliates.
For a prospective franchisee, this statistic provides insight into the resale market and the potential for exiting the franchise system through a transfer. A higher number of transfers might indicate a more active market for existing Carls Jr. locations, while a lower number could suggest fewer opportunities to sell. It is important to note that the number of transfers can be influenced by various factors, including the overall health of the franchise system, economic conditions, and the desirability of specific locations.
It's also worth noting that the FDD includes a separate table specifically for Dual Concept Restaurants. However, the table quoted here includes ALL restaurant transfers, including Dual Concept restaurants. The FDD also indicates that the restaurants included in the Dual Concept Restaurant table are also included in the main table, so there is no double-counting.
Prospective franchisees should investigate the reasons behind franchise transfers to understand the potential risks and opportunities associated with acquiring an existing Carls Jr. restaurant. This includes understanding the financial performance of transferred locations, the terms of the transfer agreements, and any ongoing obligations to Carls Jr.