The real numbers on owning a A&W RESTAURANTS franchise
A&W RESTAURANTS · FDD 2024 · from public state filings
CDisclosure honesty
This franchisor discloses earnings (Item 19) — but read how.
Investment
$287,368–$1,573,172
Total fees
10% of sales
Outlets
455
Closure signals
6 ceased, 6 terminated
Lawsuits
0
What their own earnings claim actually says
Net Sales data for 56 freestanding and 53 C&G restaurants (2023). Avg freestanding: $1.3M; C&G: $785K. P&L data limited to 24/11 restaurants respectively. Excludes seasonal, non-drive-thru, co-brand, captive outlets.
Failure & turnover reality (Item 20)
Single-brand net change +2 (2023); co-brand declined 34 outlets. 6 terminations, 6 ceased operations in 2023.
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The franchisor won't put real owner profit in writing. We do — reconstructed from their own FDD.
Franchisor's framing: Net Sales data for 56 freestanding and 53 C&G restaurants (2023). Avg freestanding: $1.3M; C&G:…
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Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
Break-even timeline + cash-on-cash ROI on your investment
Full fee stack + required-purchase markups
Decoded real failure / closure rate
How it ranks vs comparable franchises
Validation-call playbook — who to call + the exact questions
The FDD lists a total initial investment of about $287,368–$1,573,172, including a $15,000 initial franchise fee.
How much do A&W RESTAURANTS franchise owners make?
Net Sales data for 56 freestanding and 53 C&G restaurants (2023). Avg freestanding: $1.3M; C&G: $785K. P&L data limited to 24/11 restaurants respectively. Excludes seasonal, non-drive-thru, co-brand, captive outlets. We grade this disclosure C for honesty.
What is the A&W RESTAURANTS franchise failure rate?
Single-brand net change +2 (2023); co-brand declined 34 outlets. 6 terminations, 6 ceased operations in 2023.
Is a A&W RESTAURANTS franchise worth it?
It depends on the numbers, not the pitch. A&W RESTAURANTS scores C on disclosure honesty, carries about 10% of sales in ongoing fees. Get the real owner take-home before you sign.
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Source: MN CARDS 31158-202404-09 (Clean FDD 2024). FranchiseValidate is independent and not affiliated with A&W RESTAURANTS or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.