The Counter Custom Burgers Franchise Cost, Revenue & Review 2026
- Investment
- $712K – $2.0M
- Disclosed sales
- $2.7M
- gross sales, not profit
- SBA charge-off
- Under 10 loans (8)
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 $712K – $2.0M, including a $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 →
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 scored6 of 7 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $712K – $2.0M
- 86th pct Service Resta…
- Avg gross sales
- $2.7M
- 35th pct Service Resta…
- Royalty
- 6.0%
- 48th pct Service Resta…
- Units
- 11
- 39th pct Service Resta…
- SBA charge-off
- N/A
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 $712K – $2.0M including a $35K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $2.7M/year (median $2.4M).
- RISKVerdict D (Below average), verdict score 34/100 (higher is better).
- GROWTHNegative: net -5 franchised outlets in the latest year (0 opened, 3 closed); 1 signed but not yet open (Item 20).
- FLAGItem 4 discloses a bankruptcy of an officer or of a company an officer ran, not of the franchisor. Review Item 4 for details.
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)
- FDD Item 1, page 8 of the 2025 FDD
- Ultimate parent
- MTY Food Group, Inc. (Toronto Stock Exchange public company)
- FDD Item 1, page 9 of the 2025 FDD
- 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
Same owner · FDD Item 1, page 9
26 other brands on this site name MTY Food Group, Inc. (Toronto Stock Exchange public company) as parent or ultimate parent in their own FDD.
- Barrio QueenC
- BlimpieD
- Chicken Strips and DipsD
- Cold Stone CreameryC
- Extreme PitaF
- Famous Dave’sB
- Ginger Sushi + Poke ShopC
- GrabbagreenC
- Great SteakC
- Kahala Coffee TradersB
- La DiperieB
- Manchu WOKB
- Maui WowiD
- Mucho BurritoB
- NrGize Lifestyle CafeB
- Papa Murphy'sA
- PinkberryB
- Planet SmoothieC
- Samurai Sam’s Teriyaki GrillB
- Sauce Pizza / WineD
- Surf City SqueezeD
- TacoTimeC
- Thai ExpressD
- Village InnD
- +2 more
Portfolio: MTY Food Group
Grouped by the owner's name as each filing prints it (this page: the 2025 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
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 178% above the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $35K | $35K |
| Working capital (3–6 mo) | $50K | $200K |
| Equipment, build-out, other | $627K | $1.7M |
| Total initial investment | $712K | $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
- $712K – $2.0M
- Bottom third — review vs category
- Liquid capital req'd
- $50K – $200K
- Bottom third — review vs category
- Franchise fee
- $35K – $35K
- Middle of category vs category
- Royalty
- 6.0%
- Set by a formula · 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 |
| Inventory (initial) | $20K – $50K |
| Total fee load | 7.0% of rev |
What do units actually make?
Average unit sales run 180% above the quick-service restaurants norm.
Source: FDD 2025 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for the COUNTER CUSTOM BURGERS until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for 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.
Total invested capital · disclosed
$1.5M
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one the COUNTER CUSTOM BURGERS 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 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.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for 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.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
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
- 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
- gross sales
- Sample size
- 8 outlets
- vs category median 19 · small
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 781 Quick-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 Quick-Service Restaurants median).
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 Quick-Service Restaurants medians
How The Counter Custom Burgers 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
- 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
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 1
- Transferred
- 2
- Reacquired
- 1
- Franchisor bought back
- Signed, not yet open
- 1
- 0.09 per open outlet · Item 20 Table 5
- 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)
Where the owners are · Item 20 owner list
0 current owners across 0 states; 1 former (terminated, transferred or not renewed) listed separately.
Counts only, from the list the franchisor prints in Item 20. 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 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
- Under 10 loans (8)
- Insufficient SBA coverage: 8 loans, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (8)
- 5-yr charge-off
- Under 10 loans (8)
- 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
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
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
Bankruptcy (Item 4)
Subject: an officer. An officer’s own bankruptcy or a company an officer ran, not the franchisor’s
Our co-COO Adam Lehr in connection with his ownership of Lehr Restaurant Group and Lehr Real Estate filed a bankruptcy proceeding as debtor under Chapter 13 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the District of Minnesota on January 30, 2018, under Case No. 18-40253-KHS.
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
MTY USA and subsidiaries FY2024 (ended Nov 30, 2024) total recognized revenue was $597,538,000 per Item 8, of which $51,714,322 (8.5%) derived from product/service sales and vendor allowances tied to franchisee purchases; audited FY2023 revenue (Exhibit V) was $580,280,000.
ⓘ 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: Yes
- Kickbacks from required suppliers: Yes
- 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
- 01MINOROnly 11 units remaining
- 02HIGH19 litigation matters (mostly affiliate/parent, not brand)
- 03HIGHBankruptcy is old personal Ch.13 of an officer — low weight
- 04MINORStrong 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 | Protected territory |
| 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
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
- Site selection
- franchisor approval of franchisee-proposed sites (franchisee investigates/proposes; franchisor accepts/rejects per site selection criteria)
- Franchisor financing
- Offered
- Item 10
- 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
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 $712K – $2.0M, with an initial franchise fee of $35K. 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.
Who owns the COUNTER CUSTOM BURGERS?
the COUNTER CUSTOM BURGERS is franchised by MTY Franchising USA, Inc.. Its parent company is MTY Franchising Inc. (MTY Canada). The ultimate parent named in the FDD is MTY Food Group, Inc. (Toronto Stock Exchange public company). Source: FDD Item 1, 2025 filing.
What is Item 19 in the the COUNTER CUSTOM BURGERS 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 the COUNTER CUSTOM BURGERS FDD and qualifies whose outlets they describe.
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). 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
Are you the franchisor?
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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.