Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

  • Anytime Fitness
  • CruiseOne
  • Firehouse Subs
  • Jimmy John's
  • Massage Envy
  • Menchie's
  • Orange Leaf Frozen Yogurt
  • Planet Fitness
  • The UPS Store
  • Yogurt Land
  • And Hundreds More...

No, thanks. I'm not interested in uncovering the actual earnings of hundreds of franchises at this time.

QSR Magazine’s 10 Best Franchise Deals of 2011: With Some Very Useful Data on the Average Unit Volumes of Top Franchises

by Franchise Chatter on July 29, 2011

in Best of List



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In their own words, QSR Magazine (a leading industry publication covering the quick service restaurant industry) considered the following factors when putting together their list of the 10 Best Franchise Deals of 2011: “an average sales-to-investment ratio nearing 2:1, dedicated corporate support that helps franchisees succeed, a distinctive niche that carries marketplace allures, recent growth despite the nation’s economic woes, stable leadership that ensures consistent strategy, and consumer satisfaction ratings highlighting consumer interest.”

While most of these factors are incredibly subjective, I found the use of the average sales-to-invesment ratio to be quite helpful.  Obviously, sales and net profit are 2 completely different measures, and an impressive sales figure does not necessarily produce an equally impressive bottom line.  A franchise concept that generates huge sales but is weighed down by high lease, labor, or food costs can still lose money.   But knowing a franchise’s average unit sales is a good starting point when doing a pro forma financial analysis.

It’s a pity that QSR neglected to mention the average unit volumes for 3 of the franchises on their list.  Nevertheless, there’s a lot of interesting information here.  Franchisors are usually very tight-lipped when it comes to disclosing average sales figures, so this list is actually pretty revealing.

1.  Wingstop



  • Total initial investment:  $332,500 – $550,000
  • Average unit volumes: $750,000

2. Papa Murphy’s

  • Total initial investment:  $195,000 – $380,000
  • Average unit volumes: undisclosed

3.  Stevi B’s Pizza Buffet

  • Total initial investment:  $500,000 – $650,000
  • Average unit volumes:  $950,000

4.  Popeye’s Louisiana Kitchen

  • Total initial investment: $292,300 – $422,100
  • Average unit volumes:  $1.5 million

5.  Carl’s Jr.

  • Total initial investment: $1.2 million – $1.4 million
  • Average unit volumes:  undisclosed

6. Saladworks

  • Total initial investment:  $343,802 – $494,027
  • Average unit volumes:  $820,000

7.  Bojangles’s Famous Chicken N’ Biscuits

  • Total initial investment:  $357,000 – $771,000
  • Average unit volumes:  $1.6 million

8.  Subway

  • Total initial investment:  $84,300 – $258,300
  • Average unit volumes:  undisclosed

9.  Which Wich

  • Total initial investment:  $184,875 – $422,250
  • Average unit volumes:  $650,000

10.  Shane’s Rib Rack

  • Total initial investment:  $403,100 – $690,500
  • Average unit volumes: $832,000


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