What is the initial franchise fee for a Hardees restaurant?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
orm of Franchise Agreement in use at the time you begin to develop the Franchised Restaurant and the respective 2025 HR Travel Center Development Incentive Program Addendum or 2025 DIP Addendum, if applicable.
Initial Franchise Fee
The Initial Franchise Fee is $25,000, although the balance of the Initial Franchise Fee is reduced to $15,000 for a Franchised Restaurant developed pursuant to the terms of a Development Agreement, including any Conversion Restaurant. You must pay HR the Initial Franchise Fee, less any Development Fee already paid, when you execute the Franchise Agreement. The Initial Franchise Fee is fully earned by HR when paid, and it is not refundable. Under the Development Agreement, we will waive the $15,000 Initial Franchise Fee for any Franchised Restaurant that opens 6 months prior to the contractual opening date for the Franchised Restaurant as set forth in the Development Agreement.
Source: Item 5 — Initial Fees (FDD pages 27–29)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the initial franchise fee is $25,000. However, this fee is reduced to $15,000 for a restaurant developed under a Development Agreement, including any Conversion Restaurant. This initial franchise fee is payable when the Franchise Agreement is executed, less any Development Fee already paid. Once paid, the initial franchise fee is considered fully earned by Hardees and is non-refundable.
Notably, Hardees may waive the $15,000 initial franchise fee for restaurants opening six months before the contractual opening date specified in the Development Agreement. Additionally, in 2025, Hardees waived the initial franchise fee in certain situations where a new franchisee took over a closed or potentially closing restaurant.
Prospective franchisees should understand these conditions and consider whether they qualify for a reduced or waived initial franchise fee based on their specific circumstances, such as entering into a Development Agreement or taking over an existing location. It is important to discuss these possibilities with Hardees during the franchise application process.