Fuddruckers Franchise Cost, Revenue & Review 2026
- Investment
- $625K – $2.0M
- Disclosed sales
- not disclosed
- SBA charge-off
- 31.4%
- on 36 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Fuddruckers is a fast-casual franchise known for cooked-to-order burgers on scratch-baked buns with a fresh toppings bar. Franchisees run the restaurants, managing in-house baking and butchering, staffing, and service.
FranchiseVerdict summary · 2026
A Fuddruckers franchise requires a total initial investment of $625K – $2.0M, including a $25K – $45K franchise fee and an ongoing 5.5% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. SBA 7(a) loans show a 31.4% charge-off rate across 36 loans[1]. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Limited operating history: franchising since 2024. A system this young has fewer than three years of Item 20 outlet history and rarely enough SBA loans for a charge-off rate, so its grade rests on less evidence than an established system's. Read its Item 20 tables and talk to its first franchisees before relying on the grade. Other new franchisors
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $625K – $2.0M
- 83rd pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 5.5%
- 44th pct Service Resta…
- Units
- 50
- 65th pct Service Resta…
- SBA charge-off
- 31.4%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $625K – $2.0M including a $45K franchise fee, 5.5% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict D (Below average), verdict score 34/100 (higher is better). 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, 2010–2025).
- GROWTHFlat: no net change in franchised outlets in the latest year (1 opened, 14 closed) (Item 20).
- DECLINESystem contracting at -11.5% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- BTFS OPCO, L.L.C.
- Parent company
- Black Titan Franchise System, LLC
- FDD Item 1, page 9 of the 2025 FDD
- Ultimate parent
- Black Titan Investment Corporation
- FDD Item 1, page 10 of the 2025 FDD
- Predecessor
- Luby's Fuddruckers Restaurants, LLC
- Prior franchisor entity
- CEO title
- President and Chief Executive Officer
- Nicholas M. Perkins
- 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
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Overview
About
- CEO
- Nicholas M. Perkins
- Headquarters
- TX
- Founded
- 2022
- FDD year
- 2025
- States available
- 17
Can you afford it, and what does the money buy?
Entry cost runs 172% above the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown13 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
- Bottom third — review vs category
- Liquid capital req'd
- $50K – $100K
- Bottom third — review vs category
- Franchise fee
- $25K – $45K
- Bottom third — review vs category
- Royalty
- 5.5%
- 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 |
| Training fee | $1K |
| Transfer fee | $6K |
| Renewal fee | $11K |
| Inventory (initial) | $20K – $25K |
| Total fee load | 9.5% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Fuddruckers makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Fuddruckers unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 9.5% — above the Quick-Service Restaurants median of 7.5%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System contracting at -11.5% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants medians
How Fuddruckers Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 50
- Opened
- 1
- Last reporting year
- Closed
- 14
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- N/A
- Company-owned
- 4
- Corporate units in the system
- % franchised
- 92%
- vs corporate-owned
- Net growth (3-yr)
- -11.5%
- Net unit change over 3 years
- 3-yr CAGR
- -11.5%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 1
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 2
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 16 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.
Where the owners are · Item 20 owner list
52 current owners across 16 states.
- TX 13
- VA 6
- FL 5
- SC 5
- PA 4
- NM 3
- AZ 2
- CA 2
- GA 2
- MI 2
- NJ 2
- NV 2
- +4 more states
Counts only, from the list the franchisor prints in Item 20; 1 entries carry no state. Names and phone numbers are for your own due diligence and are not shown here.
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%
- on 36 loans · 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
- Typical loan rate
- 6.8%
- avg rate to borrowers
- Franchised industry avg
- 13.2%
- brand above franchise avg ↑
- Jobs supported
- 347
- 7.2 per loan
- Lender concentration
- 11%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Franchise vs independent — in full-service restaurants, franchised businesses charge off at 13.2% vs 9.7% for independents — franchising is associated with 36% higher SBA default risk in this category.
Vintage analysis
Fuddruckers charge-off rate by loan vintage
Top lenders financing Fuddruckers franchisees
Showing 3 of 25 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Fuddruckers from SBA 7(a) FOIA data.
- Principal loss rate
- 14.2%
- Avg SBA guarantee
- 74%
- Avg interest rate
- 6.75%
- Avg chargeoff amount
- $343K
- Lender concentration
- 11.1%
- Job velocity
- 7.2 per $100K
- NAICS benchmark
- 7.4%
- NAICS 722511
- Jobs supported
- 347
Top SBA lendersTop lender holds 11% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Orrstown Bank | 1 | $330K | 0.0% |
| 2 | Regions Bank | 1 | $985K | 0.0% |
| 3 | Huron Valley State Bank | 1 | $313K | 0.0% |
| 4 | The Yellowstone Bank | 1 | $602K | N/A |
| 5 | First National Bank of Omaha | 1 | $411K | 100.0% |
| 6 | First National Community Bank | 1 | $1.6M | 100.0% |
| 7 | Santander Bank, National Association | 1 | $100K | 0.0% |
| 8 | Mid Penn Bank | 1 | $125K | N/A |
| 9 | Northeast Bank | 1 | $350K | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| PAPennsylvania | 4 | 0 | 0.0% |
| FLFlorida | 1 | 0 | 0.0% |
| GAGeorgia | 1 | 1 | 100.0% |
| MIMichigan | 1 | 0 | 0.0% |
| MTMontana | 1 | 0 | -- |
| NENebraska | 1 | 1 | 100.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
A 31.4% charge-off rate means roughly 1 in 3 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 31.4% — 96% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
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)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation is required to be disclosed in Item 3.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Citrin Cooperman & Company, LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 21 audited statement is BTFS OpCo, L.L.C balance sheet only (as of Dec 18, 2023): total assets $40,000, no liabilities, member's equity $40,000. Franchisor has not been open three years so no audited income statement is provided. The Black Titan Franchise Systems balance sheet (Sept 30, 2025) and P&L (Jan 1-Sep 30, 2025) included in Exhibit C are explicitly UNAUDITED ('No Independent Certified Public Accountant Has Audited These Figures'); those unaudited figures show franchise income $2,268,505 and net income $887,901 but are not the audited franchisor financials.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 34 / 100 verdict
- 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
What are you signing up for?
Ongoing fees run about 9.5% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 4 mi |
| Territory population | 75,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 4 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 5 |
| Mandatory arbitration | Yes |
| Arbitration location | Texas |
| Jury trial waiver | Yes |
| Governing law | TX |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in Item 3.
Items 10, 11
Training & Operations
- Classroom training
- 10 hrs
- On-the-job training
- 524 hrs
- Training location
- Certified Training Restaurant designated by franchisor
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
- Site selection
- Franchisee selects subject to franchisor acceptance
- Franchisor financing
- Not offered
- Item 10
- POS system
- Franchisor-approved POS System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Franchisor-approved POS System
Item 20 · call current owners
Franchisee Contacts
53 owners to call
Name · phone · city · state. Extracted from FDD Item 20
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 makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Fuddruckers?
Fuddruckers is franchised by BTFS OPCO, L.L.C.. Its parent company is Black Titan Franchise System, LLC. The ultimate parent named in the FDD is Black Titan Investment Corporation. Source: FDD Item 1, 2025 filing.
What is Item 19 in the Fuddruckers FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Fuddruckers FDD and qualifies whose outlets they describe.
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 46 franchised units and 4 company-owned units. 1 new units were opened in the latest reporting year.
Is Fuddruckers a good franchise to buy?
FranchiseVerdict rates Fuddruckers as a D-grade franchise with a verdict score of 34 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.
For franchisors
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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.