factual

What is the range for the estimated total initial investment for a Hardees franchise?

Hardees Franchise · 2025 FDD

Answer from 2025 FDD Document

Type of Expenditure Low Amount High Amount Method of Payment (2) When Due To Whom Payment Is To Be Made
Fees to HR:
Initial Franchise Fee (3) $25,000 $25,000 Lump sum or installments See Item 5 HR
Opening Training $32,000 $72,000 As incurred See Item 5 Vendors, HR
Support Team Fee (3)
Type of Expenditure Low Amount High Amount Method of Payment (2)
Total Fees to HR $57,000
Build-Out Costs:
Point of Sale System $55,000 $72,000 Vendors, HR and
(4) third parties
Soft Costs (5) $5,000 $25,000 As arranged As incurred Vendors and third parties
Equipment (4) $350,000 $540,000 As arranged As incurred Vendors, HR
Signage (6) $15,000 $55,000 As arranged As incurred Vendors and third parties
Total Build-Out $425,000 $692,000
Costs
Preliminary Operating Expenses:
Initial Training (7) $20,000 $60,000 As arranged As incurred Third parties
Pre-Opening Costs (8) $26,000 $44,000 As arranged As incurred Vendors, HR
Additional Funds - $160,000 $250,000 As arranged As incurred Vendors, HR
3 months (9)
Total Preliminary $206,000 $354,000
Operating Expenses
TOTAL $688,000 $1,143,000
ESTIMATED
INITIAL
INVESTMENT (10)

Source: Item 7 — Estimated Initial Investment (FDD pages 36–39)

What This Means (2025 FDD)

According to Hardees's 2025 Franchise Disclosure Document, the estimated total initial investment to develop a Hardees restaurant at a travel center location or gas and convenience location ranges from $688,000 to $1,143,000. This investment covers various cost categories, including fees to Hardees, build-out costs, and preliminary operating expenses. These costs are for a new franchised restaurant located inside a travel center or gas and convenience location, with an approximate size of 800 to 2,200 square feet and a limited menu kitchen.

The initial franchise fee is $25,000, with opening training costs ranging from $32,000 to $72,000. Build-out costs, including the point of sale system, soft costs, equipment, and signage, range from $425,000 to $692,000. Preliminary operating expenses, including initial training, pre-opening costs, and additional funds for the first three months, range from $206,000 to $354,000.

Several factors can influence the total investment. The estimates assume that the building, site work, and improvements are paid by the travel center host or the owner of the gas and convenience location. The type of signage installed is also governed by local ordinances, which can affect costs. Additionally, the low end of the equipment costs assumes that certain items are already existing in the travel center or gas and convenience location. Prospective franchisees should carefully review these figures with a business advisor to understand the potential costs and factors that may affect their investment.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.