Penn Station, Inc. vs Steak N Shake
Franchise Comparison 2026
Both Penn Station, Inc. and Steak N Shake are full-service restaurants franchises. Penn Station, Inc. requires an investment of $441K – $820K while Steak N Shake requires $259K – $998K. Penn Station, Inc. discloses average revenue of $820K; Steak N Shake does not report Item 19 data. On SBA loan performance, Penn Station, Inc. has a lower charge-off rate (2.0%) compared to Steak N Shake (15.2%). FranchiseVerdict rates Penn Station, Inc. A (Strongest tier) and Steak N Shake B (Above average).
| Metric | Penn Station, Inc. | Steak N Shake |
|---|---|---|
| Verdict Grade | AStrongest tierStrongest tier | BAbove averageAbove average |
| Investment Range | $441K – $820K | $259K – $998K |
| Franchise Fee | $25K | $10K |
| Royalty Rate | Tiered monthly royalty on net sales: 0-2% on net sales <$30,000 (0% during 5-yr abatement window, else 2%); 3% on $30,000-$35,000; 4% on $35,000-$40,000; 5% on $40,000-$45,000; 6% on $45,000-$50,000; 7% on $50,000-$55,000; 8% on net sales >$55,000 (monthly tiers, "Current Royalty Rates") | Not a simple percentage royalty. Franchise Partner pays a "System Fee" equal to the Established Percentage (up to 15%) of monthly Gross Receipts minus equipment rental and Admin Services Fee, plus an "Additional System Fee" equal to 50% of the Restaurant's monthly Net Profit; franchisee retains a contractual Minimum Profit ($1,000/month) plus 50% of Net Profit as "Additional Profit." |
| Average Revenue (Item 19) | $820K | N/A |
| SBA Charge-Off Rate | 2.0% (50 loans) | 15.2% (38 loans) |
| Total Units | 322 | 387 |
| Unit Growth (YoY) | N/A | N/A |
| Year Began Franchising | 1987 | 1939 |
| FDD Year | N/A | 2026 |
Investment Range
$441K – $820K
$259K – $998K
Franchise Fee
$25K
$10K
Royalty Rate
Tiered monthly royalty on net sales: 0-2% on net sales <$30,000 (0% during 5-yr abatement window, else 2%); 3% on $30,000-$35,000; 4% on $35,000-$40,000; 5% on $40,000-$45,000; 6% on $45,000-$50,000; 7% on $50,000-$55,000; 8% on net sales >$55,000 (monthly tiers, "Current Royalty Rates")
Not a simple percentage royalty. Franchise Partner pays a "System Fee" equal to the Established Percentage (up to 15%) of monthly Gross Receipts minus equipment rental and Admin Services Fee, plus an "Additional System Fee" equal to 50% of the Restaurant's monthly Net Profit; franchisee retains a contractual Minimum Profit ($1,000/month) plus 50% of Net Profit as "Additional Profit."
Average Revenue (Item 19)
$820K
N/A
SBA Charge-Off Rate
2.0% (50 loans)
15.2% (38 loans)
Total Units
322
387
Unit Growth (YoY)
N/A
N/A
Year Began Franchising
1987
1939
FDD Year
N/A
2026