FuddruckersFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Fuddruckers franchise requires a total initial investment of $625K – $2.0M, including a $45K franchise fee and an ongoing 5.5% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 31.4% charge-off rate across 36 loans[1]. Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $625K – $2.0M
- 37th pct Service Resta…
- Avg gross sales
- N/A
- 28th pct Service Resta…
- Royalty
- 5.5%
- 24th pct Service Resta…
- Units
- 50
- 36th pct Service Resta…
- SBA default
- 31.4%
- system-wide median varies by category
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = >15% above Full-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
31.4% of SBA loans charged off across 36 loans, above the 16% franchise average.
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
Franchised units fell from 52 to 46 over 3 years. Investigate why operators are leaving.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
Bottom line
- Total investment $625K – $2.0M including a $45K franchise fee, 5.5% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict F (Bottom Quintile) with a risk score of 100/100. SBA loan charge-off rate of 31.4% across 36 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- Auditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- BTFS OPCO, L.L.C.
- Parent company
- Black Titan Franchise System, LLC
- Incorporated in
- NC
- HQ
- 1776 Yorktown Street, Suite 600, Houston, Texas 77056
- Auditor
- Citrin Cooperman & Company, LLP
- Audited financials
- Franchisor revenue
- $3.8M
- Most recent fiscal year
- ⚠ Going-concern note
- Disclosed in FDD 2026
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Overview
About
Franchisees operate premium fast-casual burger restaurants featuring customizable toppings, hand-rolled patties, and craft beverages. Day-to-day operations include food prep, customer service, inventory management, and adherence to brand standards. Franchisees must manage labor, rent, utilities, and marketing while remitting 5.5% of gross sales in royalties to the franchisor.
- CEO
- Nicholas M. Perkins
- Headquarters
- TX
- Founded
- 2022
- FDD year
- 2026
- States available
- 17
FDD Item 7 · 2026 filing · 13 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $45K | $45K | |
| Real Estate | $16K | $50K | |
| Construction and Leasehold Improvements | $180K | $1.1M | |
| Furnishings, Fixtures, & Equipment | $210K | $480K | |
| Opening Inventory | $20K | $25K | |
| Grand Opening Advertising and Promotions | $10K | $10K | |
| Exterior and Interior Signage | $30K | $75K | |
| Personnel Expenses during training (room/board/salary) | $25K | $40K | |
| Liability and Property Insurance | $15K | $25K | |
| Liquor Licenses | $1K | $9K | |
| Miscellaneous Costs | $20K | $40K | |
| Professional Fees | $3K | $15K | |
| Additional Funds - 3 months | $50K | $100K | |
| Total initial investment | $625K | $2.0M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $625K – $2.0M
- Better than avg vs category
- Liquid capital req'd
- $50K – $100K
- Better than avg vs category
- Franchise fee
- $45K – $45K
- Better than avg vs category
- Royalty
- 5.5%
- Gross Sales · typical 6–8%
- Ad fund
- 4.0%
- typical 3–5%
- Total fee load
- 9.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.5% of gross sales |
| Marketing / ad fund | 4.0% of gross sales |
| Technology fee | $150 |
| Transfer fee | $6K |
| Total fee load | 9.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Full-Service Restaurants averages
How Fuddruckers Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 50
- Opened
- 0
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 4
- Corporate units in the system
- % franchised
- 92%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- -11.5%
- Compounded over last 3 years
3-year detail · Item 20
- Closed (3yr)
- 51
- Terminated (3yr)
- 1
- Non-renewed (3yr)
- 2,024
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 27 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 36
- Loan volume
- $22.9M
- Median loan
- $539K
- 50th percentile
- Charge-off rate
- 31.4%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 68.6%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 25
- Defaults
- 11
Vintage analysis
Fuddruckers charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Fuddruckers's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 9 lenders with concentration factor
- Per-state charge-off rates across 6 states
- Startup risk premium and job creation velocity
- 7-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
A 31.4% charge-off rate means roughly 1 in 3 franchisees failed to repay their SBA loan. Investigate what changed.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Fuddruckers presents caution-level risk due to opaque unit economics, minimal system size, and lack of transparent profitability data despite significant capital requirements.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $45,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Citrin Cooperman & Company, LLP⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 100 / 100 rating
- 01MINORNo Item 19 (Average Unit Volume) disclosure—cannot assess unit economics or ROI
- 02MINOROnly 50 units system-wide with unknown growth trajectory suggests stagnation or contraction
- 03MEDHigh investment range ($625K–$2.014M) with no disclosed average net income creates visibility gap on profitability
- 04MED5.5% royalty + undisclosed operating costs may compress margins in competitive burger category
- 05MINOR20-year term is unusually long for QSR; limits franchisee flexibility if concept underperforms
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 5 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 8 hrs
- On-the-job training
- 460 hrs
- Training location
- on-site and pre-opening
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
71 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Fuddruckers · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Fuddruckers franchise?
The total investment to open a Fuddruckers franchise ranges from $625K – $2.0M, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Fuddruckers franchise owners earn?
Fuddruckers does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Fuddruckers's franchise failure rate?
Based on SBA 7(a) loan data, Fuddruckers has a charge-off rate of 31.4% across 36 loans, meaning 31.4% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Fuddruckers franchise locations are there?
As of their most recent FDD filing, Fuddruckers has 50 total units in the United States, including 52 franchised units and 4 company-owned units.
Is Fuddruckers a good franchise to buy?
FranchiseVerdict rates Fuddruckers as a F-grade franchise with a risk score of 100 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.