How Much Does a Freddy’s Frozen Custard & Steakburgers Franchise Cost?

Initial Franchise Fee

The initial franchise fee for Freddy’s Frozen Custard & Steakburgers is $35K. This one-time payment covers the right to operate under the brand, access to proprietary systems, and initial training programs.

Total Investment Range

Opening a Freddy’s Frozen Custard & Steakburgers franchise requires a total investment of $786K – $2.8M. This range typically includes real estate or leasehold improvements, equipment and fixtures, initial inventory, signage, insurance, and working capital to sustain operations during the ramp-up period.

Working capital alone ranges from $20K to $60K.

Ongoing Costs

Beyond the initial investment, Freddy’s Frozen Custard & Steakburgers franchisees pay ongoing fees. The royalty structure is: For License Agreements signed before July 1, 2025: 4.5% of all Gross Receipts; For License Agreements signed on or after July 1, 2025: 5% of all Gross Receipts. The advertising or brand fund contribution is 1.5% of gross sales. There is also a technology fee of $100.

Net Worth & Liquid Capital Requirements

Freddy’s Frozen Custard & Steakburgers requires working capital of $20K – $60K to cover initial operating expenses. This is the liquid cash you should have available beyond the franchise fee and buildout costs.