The Counter Custom Burgers Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
The Counter is a fast-casual franchise serving build-your-own custom burgers with premium toppings. Franchisees run the restaurants, managing food prep, staffing, and counter service.
FranchiseVerdict summary · 2026
A the COUNTER CUSTOM BURGERS franchise requires a total initial investment of $711K – $2.0M, including a $16K – $35K franchise fee and an ongoing 6.0% royalty[2]. Per the 2025 FDD, average unit revenue was $2.7M[2]. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $711K – $2.0M
- 42nd pct Service Resta…
- Avg gross sales
- $2.7M
- 25th pct Service Resta…
- Royalty
- 6.0%
- 28th pct Service Resta…
- Units
- 11
- 21st pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Full-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Full-Service Restaurants avg · 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
- Total investment $711K – $2.0M including a $16K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $2.7M/year (median $2.4M).
- Verdict D (Below average), verdict score 34/100 (higher is better).
- 20 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- MTY Franchising USA, Inc.
- Parent company
- MTY Franchising Inc. (MTY Canada)
- Ultimate parent
- MTY Food Group, Inc. (Toronto Stock Exchange public company)
- Predecessor
- CB Franchise Systems, LLC (The Counter); Built Franchise Systems, LLC (Built Custom Burgers)
- Prior franchisor entity
- CEO title
- Chief Executive Officer of MTY (parent)
- Eric Lefebvre
- CEO experience
- 15 yrs
- Years in role or industry
- Incorporated in
- Tennessee
- HQ
- 9311 E Via De Ventura, Scottsdale, Arizona 85258
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $580.3M
- vs $597.5M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
- CEO
- Eric Lefebvre
- Headquarters
- AZ
- Founded
- 2006
- FDD year
- 2025
- States available
- 3
Can you afford it, and what does the money buy?
Entry cost runs 43% above the typical full-service restaurants franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $16K | $16K |
| Working capital (3–6 mo) | $50K | $200K |
| Equipment, build-out, other | $645K | $1.8M |
| Total initial investment | $711K | $2.0M |
Source: the COUNTER CUSTOM BURGERS 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $711K – $2.0M
- Middle of category vs category
- Liquid capital req'd
- $50K – $200K
- Top 40% of category vs category
- Franchise fee
- $16K – $35K
- Top 40% of category vs category
- Royalty
- 6.0%
- Gross Sales · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $100 |
| Training fee | $2K |
| Transfer fee | $13K |
| Renewal fee | $18K |
| Total fee load | 7.0% of rev |
What do units actually make?
Average unit sales run 78% above the full-service restaurants norm.
Source: FDD 2025 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$300K
11.0% margin
Unlevered ROIC
20%
EBITDA / total invested capital
Payback
4.9 yrs
cash-on-cash, unlevered
Financial Performance
- Avg gross sales
- $2.7M
- Per unit, per year
- Median gross sales
- $2.4M
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Actual
- Sample size
- 8 units
- vs category median 16
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 1273 Full-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $2.7M/year in gross sales. Revenue-to-investment ratio: 2.0x.
Fee burden
Total ongoing fee load of 7.0% (near the Full-Service Restaurants average).
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System contracting at -55.6% 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 Full-Service Restaurants averages
How The Counter Custom Burgers Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 11
- Opened
- 0
- Last reporting year
- Closed
- 3
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 1
- Term expired, not renewed (per Item 20)
- Turnover rate
- 50.0%
- Company-owned
- 3
- Corporate units in the system
- % franchised
- 73%
- vs corporate-owned
- Net growth (3-yr)
- -55.6%
- Net unit change over 3 years
- 3-yr CAGR
- -55.6%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 3
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 1
- Transfers (3yr)
- 2
- Reacquired (3yr)
- 1
- Franchisor bought back
- Projected new
- 1
- Franchisor's next-year forecast
- Transfer rate
- 18.2%
- Owners selling to other franchisees
- Termination rate
- 18.2%
- Franchisor-initiated terminations
- Ceased ops
- 36.4%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 3 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
3
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 8 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 8
- Loan volume
- $7.8M
- Median loan
- $980K
- average
- Charge-off rate
- N/A
- limited sample (8 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 6
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Financials are robust: MTY-parent net worth $252.9M, net income $17.0M on $580.3M revenue. Litigation count of 19 is high in absolute terms but spans 2005-2024 across MTY-affiliate brands, not The Counter directly; the disclosed bankruptcy is an officer's old personal Chapter 13 (filed 2018, discharged 2021). Concerns stack from sharp brand contraction: only 11 units, net growth -55.6%, 50% turnover.
Litigation (Item 3)
Two concluded cases: (1) Purav Enterprises, L.L.C., et al. v. The Extreme Pita Franchising USA, Inc., et al. (WA Superior Court, Case No. 15-2-15120-7) - settled March 11, 2016 for $20,000 regarding FIPA violations and misrepresentation; (2) KOHO, Inc. v. Kahala Franchising, L.L.C. (CA Superior Court, Case No. BC572565) - breach of contract and unjust enrichment claim with cross-complaint filed
Largest disclosed settlement: $20,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 34 / 100 verdict
- 01MINORNet growth -55.6%, turnover 0.5 — heavy contraction
- 02MINOROnly 11 units remaining
- 03HIGH19 litigation matters (mostly affiliate/parent, not brand)
- 04HIGHBankruptcy is old personal Ch.13 of an officer — low weight
- 05MINORStrong parent financials ($252.9M net worth)
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.0% 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 | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| 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 | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 14 days |
| Mandatory arbitration | Yes |
| Arbitration location | franchisee_state |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 20 |
View Item 3 litigation summary
Two concluded cases: (1) Purav Enterprises, L.L.C., et al. v. The Extreme Pita Franchising USA, Inc., et al. (WA Superior Court, Case No. 15-2-15120-7) - settled March 11, 2016 for $20,000 regarding FIPA violations and misrepresentation; (2) KOHO, Inc. v. Kahala Franchising, L.L.C. (CA Superior Court, Case No. BC572565) - breach of contract and unjust enrichment claim with cross-complaint filed
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 444 hrs
- Training location
- On-site and franchisor location
- Time to open
- 12 mo
- From signing to launch
- POS system
- MICROS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: MICROS
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
the COUNTER CUSTOM BURGERS · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a the COUNTER CUSTOM BURGERS franchise?
The total investment to open a the COUNTER CUSTOM BURGERS franchise ranges from $711K – $2.0M, with an initial franchise fee of $16K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do the COUNTER CUSTOM BURGERS franchise owners earn?
According to Item 19 of the the COUNTER CUSTOM BURGERS FDD, the average gross sales per unit is $2.7M. The median is $2.4M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is the COUNTER CUSTOM BURGERS's franchise failure rate?
SBA 7(a) loan charge-off data is not available for the COUNTER CUSTOM BURGERS (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many the COUNTER CUSTOM BURGERS franchise locations are there?
As of their most recent FDD filing, the COUNTER CUSTOM BURGERS has 11 total units in the United States, including 8 franchised units and 3 company-owned units.
Is the COUNTER CUSTOM BURGERS a good franchise to buy?
FranchiseVerdict rates the COUNTER CUSTOM BURGERS as a D-grade franchise with a verdict score of 34 out of 100 (higher is better), 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.
For franchisors
Are you the franchisor?
If you represent the COUNTER CUSTOM BURGERS, you can request corrections or provide updated information.
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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.