Anchor Bar Franchise
Cost, fees, owner earnings, closure rate and litigation for a Anchor Bar franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Anchor Bar discloses earnings (Item 19) — but the grade is how honestly. We graded it C.
What their own earnings claim actually says
Gross sales data for 8-9 franchised restaurants 2022-2025. Excludes affiliate-owned, non-traditional locations, costs, expenses. Average $2.4-2.6M annually. Three closures in 2025 due to lower sales.
What a Anchor Bar franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $60,000 | Item 5 — paid up front, before you open |
| Royalty | 5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 3% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 8% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $1,202,000 – $3,024,000 | Item 7 — franchisor's own low/high estimate |
5% royalty, up to 3% ad fee, 10% management fee if franchisor operates. Multiple ancillary fees charged.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Anchor Bar system size and owner turnover
| Total outlets | 17 |
| Ceased operations | 3 |
| Terminated by franchisor | 3 |
| Transferred to new owners | 2 |
| Closure rate | 17.6% of outlets |
3 closures in 2025 (lower sales); 3 terminations in 2025 suggest operational challenges.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Anchor Bar worth it? — how it compares to 164 similar franchises
| Ongoing fees | 8% of sales | lower than most (median 8%) |
| Startup cost | from $1,202,000 | pricier than 85% of peers |
| Disclosure honesty | Grade C | typical for the category |
| Closure rate | 17.6% of outlets | worse than 95% of peers |
| Disclosed lawsuits | 0 | fewer than most |
Benchmarked against every quick service restaurants franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Anchor Bar
The franchisor's framing: Gross sales data for 8-9 franchised restaurants 2022-2025. Excludes affiliate-owned, non-t… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Anchor Bar franchise — frequently asked
- How much does a Anchor Bar franchise cost?
- The FDD lists a total initial investment of about $1,202,000–$3,024,000, including a $60,000 initial franchise fee.
- How much do Anchor Bar franchise owners make?
- Gross sales data for 8-9 franchised restaurants 2022-2025. Excludes affiliate-owned, non-traditional locations, costs, expenses. Average $2.4-2.6M annually. Three closures in 2025 due to lower sales. We grade this disclosure C for honesty.
- What are the Anchor Bar franchise fees?
- Anchor Bar's FDD discloses a $60,000 initial franchise fee, a 5% royalty on gross sales, a 3% advertising-fund contribution, for roughly 8% of gross sales in recurring fees before rent, labor, or debt service. 5% royalty, up to 3% ad fee, 10% management fee if franchisor operates. Multiple ancillary fees charged.
- What is the Anchor Bar franchise profit margin?
- Anchor Bar does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Gross sales data for 8-9 franchised restaurants 2022-2025. Excludes affiliate-owned, non-traditional locations, costs, expenses. Average $2.4-2.6M annually. Three closures in 2025 due to lower sales. Recurring fees alone take about 8% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Anchor Bar franchise failure rate?
- 3 closures in 2025 (lower sales); 3 terminations in 2025 suggest operational challenges.
- How many Anchor Bar locations are there?
- Anchor Bar's FDD reports 17 total outlets, with 3 that ceased operations in the most recent reporting year and 2 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Anchor Bar have complaints or lawsuits?
- Anchor Bar discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
- Is a Anchor Bar franchise worth it?
- It depends on the numbers, not the pitch. Anchor Bar scores C on disclosure honesty, carries about 8% of sales in ongoing fees. Get the real owner take-home before you sign.
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Compare Anchor Bar to similar franchises
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Anchor Bar or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.