Franchise Costs: What You Pay and How People Pay for It

How much does a franchise cost?

A franchise can cost from a few thousand dollars to several hundred thousand, and the number that matters is the total initial investment in FDD Item 7, not the franchise fee. The fee is one line in that total. Equipment, a vehicle or lease, inventory, insurance and a cash cushion make up the rest.

The business model drives the price. In their 2026 Entrepreneur listings, Cruise Planners, a home-based travel agency, lists $1,945 to $20,505; Soccer Shots, a kids sports program, lists $42,950 to $54,300; Right at Home, an in-home senior care brand, lists $94,330 to $176,239; and PuroClean, a restoration brand, starts at $241,503. These are examples, not a short list. Budget for the high end until the franchisor shows why the low end fits your market.

The franchise fee and ongoing fees (FDD Items 5 and 6)

You pay the franchisor before you open (Item 5) and then on a schedule for as long as you operate (Item 6). Both items are required by the FTC Franchise Rule at 16 CFR 436.5.

• Initial fees (Item 5). All payments to the franchisor or an affiliate before opening, plus when, if ever, they are refundable. A low fee can sit inside a large total: Chick-fil-A says its initial franchise fee is $10,000 and that the total initial investment goes beyond that payment.
• Royalties. The FTC’s buyer guide says you may pay royalties based on a percentage of your weekly or monthly gross income, so they are due in slow months too.
• Advertising or brand fund. The FTC guide notes you may also have to contribute to an advertising fund. Item 11 explains how the fund is run and spent.
• Technology. Item 11 must disclose required computer or point-of-sale systems, their cost and the annual cost of maintenance, updates or support.
• Other fees. The rule’s Item 6 examples include additional training, audits, accounting, advertising cooperatives, transfers and renewals.

Rates vary by brand, so turn the Item 6 table into a monthly cost before you look at any sales figure.

For a worked brand example of a low fee inside a large total, see our breakdown of the Chick-fil-A franchise cost and its Item 6 fee formula.

Cooperative systems price entry differently: Ace pairs a $5,000 affiliation fee with $5,000 of member stock and charges no royalty, as laid out in our Ace Hardware franchise cost and membership breakdown.

Fixed monthly minimums can matter as much as royalties; the Burn Boot Camp franchise cost and fee schedule adds a $3,000 local advertising floor to an $860 technology fee.

Total initial investment (FDD Item 7)

Item 7 is the franchisor’s low to high estimate of everything it takes to open. Under 16 CFR 436.5(g) it lists the franchise fee, training, real estate, equipment and build-out, opening inventory, deposits and licenses, and other required payments.

The line buyers skip is “Additional funds,” which covers expenses during an initial period of operations, which the rule says is reasonably at least three months or a reasonable period for the industry. Check whether it allows anything for your own pay; the FTC guide asks whether you have savings or other income to live on until you open.

Item 7 also moves: under 16 CFR 436.7, the franchisor must update its disclosure document within 120 days after its fiscal year ends.

Some brands state Item 7 per store but require a multi-store commitment: the 7 Brew franchise cost is $940,500 to $2,283,500 per store with a 10-store minimum in its May 2026 FDD.

For a brand-level example, our Domino’s franchise cost breakdown re-adds every line of the July 2026 Item 7 tables and shows how the low estimate rose $75,000 from the 2025 edition.

Some franchisors print a separate Item 7 table for each site type: the Dunkin’ Donuts franchise cost runs from $142,000 for a non-traditional unit to $1,832,500 for a freestanding restaurant in its March 2026 FDD.

Item 7 is only half the picture for fast-growing brands: the Crumbl franchise cost of $848,566 to $1,472,533 sits beside an Item 20 table where openings fell from 288 to 52 a year.

In a 24-hour gym system the access and security package is its own Item 7 line, as our breakdown of the Anytime Fitness franchise cost shows.

Some Item 7 tables leave land out entirely, as the car wash franchise cost breakdown by tunnel length shows for a build of $3,482,389 or more.

Footprint can move Item 7 more than brand: one coffee FDD prices a kiosk at $1,163,650 to $1,345,750 and an end cap at $658,898 to $1,068,525, as our coffee franchise costs by format page shows.

Liquid capital and net worth requirements

Liquid capital and net worth minimums are qualification tests, not costs, and they can sit above the Item 7 low end. They are not a required FDD item; check the franchisor’s website or application.

Right at Home says on its franchising FAQ that you must have access to $150,000 in liquid capital to be considered, while its range starts at $94,330 per its 2026 Entrepreneur listing. Sandler lists an initial investment of $77,500 to $102,250 with a $250,000 net worth requirement and a $75,000 cash requirement in its 2026 Entrepreneur listing.

Some franchisors tie liquidity to the plan itself: the 2026 Culver’s FDD requires cash or liquid assets equal to 20% of the projected investment, as our Culver’s franchise cost breakdown shows.

A website figure and the FDD can differ: the Bojangles franchise breakdown shows $1,000,000 liquid capital online and $1,350,000 in the FDD’s Letter of Intent form.

Franchise cost types and where to find them in the FDD

Every cost a franchisor controls has a home in the FDD. Use this map to open the right Item.

Source: Federal Trade Commission Franchise Rule, 16 CFR 436.5 (disclosure items), accessed October 2, 2026.

Items 5, 6 and 7 sit inside a 23-Item filing whose deadlines and structure are explained in our franchise disclosure document guide.

How people pay for a franchise

Most routes mix your own cash with one other source, and every borrowed dollar puts something you own on the line.

• Cash and savings. Under SBA SOP 50 10 8.1, unborrowed cash, including a documented gift, counts toward the equity a lender requires.
• SBA 7(a) loan. The SBA says the maximum 7(a) loan is $5 million. SOP 50 10 8.1, effective October 1, 2026 according to SBA Information Notice 5000-880695, requires a 10 percent equity injection based on total project cost for 7(a) loans to a start-up. The brand must be on the SBA Franchise Directory, which the SBA says is not an endorsement.
• ROBS (Rollovers as Business Start-Ups). Using retirement funds to pay start-up costs. The IRS says these plans are not considered abusive tax avoidance transactions but are questionable, and its compliance project found that most ROBS businesses either failed or were on the road to failure. Get independent tax advice first.
• HELOC. The CFPB describes a home equity line of credit as a line you can borrow against repeatedly, and warns that if you fall behind you could lose your home.
• Partners or investors. Under SOP 50 10 8.1, an investor’s money counts toward the equity injection only if it does not have to be repaid before the SBA guaranty is released.
• Franchisor financing. Item 10 must disclose the terms of any financing the franchisor or its affiliates offer.

Go deeper: guides in this section

Start with your real budget, then compare brands inside it. Our guide to franchises under $100k separates total budget from cash on hand and walks through the SBA math at that level. If you are earlier in the process, buying a franchise covers the steps from first research to signing.

A consultant can help compare costs across brands; what a franchise consultant does explains where they help and where they do not. The FTC warns that brokers paid on commission may steer buyers toward more costly franchises, so read how franchise consultants get paid. When you know your numbers, the free franchise match quiz introduces you to a consultant; this site may be paid for that introduction, as our disclosures explain.

What it costs to open specific franchise brands

Each breakdown reads the brand's current franchise disclosure document filed in Minnesota: the initial fee in Item 5, ongoing fees in Item 6 and the startup estimate in Item 7.

• 7 Brew Franchise Cost: The 7 Brew FDD issued May 11, 2026 puts one store at $940,500 to $2,283,500 and requires new franchisees to commit to at least 10 stores.
• Anytime Fitness Franchise Cost: The 2026 Anytime Fitness FDD puts one center at $539,329 to $905,482, led by $170,280 to $417,300 of leasehold work.
• Burger King Franchise Cost: The Burger King FDD issued March 26, 2026, as amended September 2, 2026, prints $348,400 to $4,730,600 before real estate and schedules two remodels inside each 20-year term.
• Chick-fil-A Franchise Cost: The 2026 Chick-fil-A FDD lists a $10,000 franchise fee and a $317,521 to $3,463,155 initial investment, with a 15% formula fee in place of a royalty.
• Cinnabon Franchise Cost by Format: The 2026 Cinnabon FDD prices a Full Bakery at $256,950 to $703,500 and lists eight Item 7 tables across six bakery formats.
• Cold Stone Franchise Cost by Format: The March 2026 Cold Stone Creamery FDD prices a traditional shop at $390,675 to $680,775 and a non-traditional unit at $255,700 to $533,275, before real estate.
• Crumbl Franchise Cost and the Item 20 Record, 2023 to 2025: The 2026 Crumbl FDD puts one store at $848,566 to $1,472,533 and shows openings falling from 288 to 52 a year as transfers rose to 82.
• Crunch Fitness Franchise Cost: Crunch's April 29, 2026 FDD puts a Crunch Fitness club at $2,147,500 to $5,367,000 before rent, with build-out and equipment taking about 84% of the range.
• Culver's Franchise Cost: Culver's 2026 FDD requires a full-time on-site Operator, 670 hours of training and 20% liquidity before a $3,406,350 to $10,294,100 build.
• Dairy Queen Franchise Cost by Format: The 2025 Dairy Queen FDDs put a new DQ Grill & Chill at $1,516,200 to $2,543,050 and a DQ Treat store at $549,100 to $1,604,700, land excluded.
• Domino's Franchise Cost: Domino's July 2026 FDD puts a Traditional Store at $231,450 to $743,500, $75,000 more at the low end than in 2025, and limits single-Store franchises to 12-month general managers.
• Dunkin' Donuts Franchise Cost: The Dunkin' FDD issued March 26, 2026 prices one restaurant at $142,000 to $1,832,500 across four formats, with a $40,000 to $90,000 fee set by TV market.
• F45 Franchise Cost Under the October 2026 FDD, and the Record Behind It: The October 2026 F45 Training FDD puts one studio at $362,300 to $857,700, with $299,600 to $373,200 paid to the franchisor.
• Great Clips Franchise Cost: The March 30, 2026 Great Clips FDD puts one salon at $187,800 to $419,900 and offers single, Three Star and Master Development routes with different fees and territory.
• HOTWORX Franchise Cost: The April 1, 2026 HOTWORX FDD prices one studio at $288,890 to $830,380, with $121,510 to $194,000 for the sauna and equipment package.
• Jan-Pro Franchise Cost: Jan-Pro's 2026 FDD prices a regional developer territory at $130,000 to $421,500, while unit cleaning plans are priced by each regional office under a template agreement.
• Jersey Mike's Franchise Cost: The 2026 Jersey Mike's FDD puts one restaurant at $436,176 to $1,162,228, with every buyer signing a development agreement and paying a $10,000 development fee plus a $20,000 franchise fee.
• Jimmy John's Franchise Cost: The March 2026 Jimmy John's FDD puts a traditional restaurant at $366,200 to $733,500, requires every franchisee to run delivery, and offers royalty credits of $125,000 or $175,000 in listed markets.
• KFC Franchise Cost in 2026: KFC's March 2026 FDD puts a new U.S. restaurant at $2,107,575 to $4,155,000 and a remodel or conversion at $1,207,575 to $2,805,000.
• Krispy Kreme Franchise Cost: No Krispy Kreme FDD is on file in Minnesota, so this page prices the hub-and-spoke formats from the company's 10-K and traces the old fee figures to 2016.
• Kumon Franchise Cost: Kumon's March 27, 2026 FDD puts the opening cost at $101,630 to $233,780 and charges royalties per student per subject: $42.75 during the Temporary License Period, $38 after.
• Little Caesars Franchise Cost: The Little Caesars FDD issued March 27, 2026 puts one new restaurant at $376,500 to $1,769,200, including a $20,000 initial fee.
• McDonald's Franchise Cost: McDonald's 2026 FDD puts a new traditional restaurant at $1,472,000 to $2,807,000, including a $45,000 initial fee.
• Papa John's Franchise Cost: The March 30, 2026 Papa John's FDD puts a Standard restaurant at $281,485 to $890,267 and requires dough and sauce from PJ Food Service.
• Pizza Hut Franchise Cost: Pizza Hut's October 2026 FDD prices a new restaurant at $670,000 to $2,130,000 before land, and its candidate form targets operators planning 5 or more locations.
• Planet Fitness Franchise Cost: Planet Fitness's May 2026 FDD puts one club at $1,282,500 to $5,386,000, and 89.8% of its 2,709 U.S. clubs were franchised at the end of 2025.
• Popeyes Franchise Cost: The Popeyes FDD issued March 20, 2026 puts an in-line restaurant at $504,545 to $1,968,245 and a free-standing one at $1,222,045 to $3,923,245, before real estate.
• Scooters Franchise Cost: Scooter's Coffee's October 2026 FDD prices a drive-thru Kiosk Store at $1,163,650 to $1,345,750 and an End Cap Store at $658,898 to $1,068,525, land excluded.
• Servpro Franchise Cost: The April 2026 Servpro FDD puts the start-up cost at $263,305 to $385,570, with the vehicle line alone ranging from $5,000 to $69,900.
• Smoothie King Franchise Cost by Format: The Smoothie King FDD issued April 8, 2026 prices an end-cap or in-line store at $329,850 to $683,715 and a free-standing drive-thru at $639,950 to $1,278,900 before site work.
• Sonic Franchise Cost: The March 2026 Sonic FDD prices a leased freestanding drive-in at $1,485,200 to $2,522,900 before land, with a $15,000 franchise fee.
• Subway Franchise Cost: Subway's 2026 franchise disclosure document puts a new traditional restaurant at $263,000 to $630,000, including a $15,000 franchise fee, plus 12.5% of weekly gross sales in royalty and advertising.
• Swig Franchise Cost: The Swig FDD issued May 7, 2025, the newest on file in Minnesota, puts one store at $608,400 to $1,718,000, up $600,000 at the high end from the April 2024 FDD.
• Taco Bell Franchise Cost: The March 26, 2026 Taco Bell FDD puts a new Traditional Unit at $1,859,750 to $4,312,200 and an In-Line or End-Cap at $934,750 to $1,817,200.
• UPS Store Franchise Cost: The UPS Store's April 2026 disclosure document puts a new traditional center at $222,368 to $606,081, including a $39,950 franchise fee.
• Wendy's Franchise Cost: The 2026 Wendy's FDD prices a cash-funded new restaurant at $1,580,457 to $3,105,000 before land, with different up-front fees for REPP, Build-to-Suit, Franchise Flip and transfer routes.
• Wingstop Franchise Cost: Wingstop's FY2025 10-K sets a $20,000 franchise fee, a $10,000 development fee per restaurant and 11.5% of weekly sales in royalty and Ad Fund.

A single brand can carry several fee schedules, as the Baskin Robbins franchise breakdown of standalone, SDO and Combo fees shows.

Boba systems put $44,000 to $213,300 of Item 7 in the franchisor’s hands before opening, as our bubble tea franchise cost and supplier breakdown shows.

Remodel duties can sit outside the opening budget: our Burger King franchise cost breakdown shows a contract that schedules a midterm exterior remodel and a Successor Remodel inside each 20-year term.