Franopolis

    A&W Restaurants, Inc.

    Franchise research report · reviewed 2026 disclosure data

    Researching A&W Restaurants, Inc. franchise opportunities? Every figure below is cited to the FDD.

    Reviewed sources
    Franchising since
    1925
    Source: franchise.org
    Headquarters
    Lexington, KY United States
    Source: franchise.org

    A&W Restaurants franchise serves up classic American fare including root beer floats, burgers, and hot dogs with a nostalgic drive-in experience that has attrac

    Headline figures

    Quick facts

    How much does it cost to open an A&W Restaurants, Inc. franchise?
    The A&W Restaurants, Inc. Franchise Disclosure Document reports separate estimated initial investments by format: $894,130–$1,640,034 for total: $894,130 - $1,640,034 (does not include real estate costs) (2026 FDD, Item 7, PDF p. 15); $424,130–$1,129,311 for total: $424,130 - $1,129,311 (does not include real estate costs) (2026 FDD, Item 7, PDF p. 16); $227,095–$489,599 for sub-total: $227,095 - $489,599 (2026 FDD, Item 7, PDF p. 17); $818,130–$1,386,632 for sub-total: $818,130 - $1,386,632 (2026 FDD, Item 7, PDF p. 14); $348,130–$878,311 for sub-total: $348,130 - $878,311 (2026 FDD, Item 7, PDF p. 16). These formats are not combined. Each is the franchisor's disclosed estimate, not a quote. Details
    What is the A&W Restaurants, Inc. initial franchise fee?
    The disclosed initial franchise fee for a standard single unit is $30,000 (2026 FDD, Item 5, PDF p. 9). Other fee options (for example multi-unit or conversion) are listed separately in the report. Details
    Does A&W Restaurants, Inc. disclose financial performance (Item 19)?
    Yes. The A&W Restaurants, Inc. FDD includes an Item 19 financial performance representation (2026 FDD, Item 19, PDF p. 47). Figures apply only to the locations and period each one covers. Details

    From reviewed FDD figures only. Not a recommendation or projection.

    What the disclosures show

    1. 1The 2026 FDD (Item 7) estimates opening costs separately by format: $894,130 – $1,640,034 (TOTAL: $894,130 - $1,640,034 (Does not include real estate costs)); $424,130 – $1,129,311 (TOTAL: $424,130 - $1,129,311 (Does not include real estate costs)); $227,095 – $489,599 (Sub-total: $227,095 - $489,599); $818,130 – $1,386,632 (Sub-total: $818,130 - $1,386,632); $348,130 – $878,311 (Sub-total: $348,130 - $878,311); several initial fee options apply.
    2. 2Item 19 covers 11 separate groups: other measures for 15 Franchised restaurants; other measures for 59 Franchised restaurants; other measures for 15 Franchised restaurants; other measures for 15 Franchised restaurants; other measures for 14 Franchised restaurants; other measures for 13 Franchised restaurants; other measures for 52 Franchised restaurants; adjusted operating results for 17 Franchised locations; other measures for 13 Franchised restaurants; other measures for 13 Franchised restaurants; other measures for 13 Franchised restaurants. They are not combined.

    From reviewed FDD figures only. Not a recommendation or projection.

    Costs · Items 5–7

    What does it cost to open?

    Estimated opening costs and the fees payable to the franchisor.

    Startup Investment — Item 7

    Range across 5 single-unit formats

    2026 FDD · Item 7

    Formats disclosed in Item 7 (5)

    Each format has its own total. The total depends on the format you choose.

    • Sub-total: $227,095 - $489,599PDF p. 17$227,095 – $489,599
    • Sub-total: $348,130 - $878,311PDF p. 16$348,130 – $878,311
    • $424,130 - $1,129,311 (Does not include real estate costs)PDF p. 16$424,130 – $1,129,311
    • Sub-total: $818,130 - $1,386,632PDF p. 14$818,130 – $1,386,632
    • $894,130 - $1,640,034 (Does not include real estate costs)PDF p. 15$894,130 – $1,640,034

    Standard single-unit franchise fee

    2026 FDD · Item 5 · PDF p. 9
    Discounted and multi-unit options are separate; see all fees.

    Ongoing Fees — Item 6

    Selected recurring charges; payment bases and conditions remain attached to each fee.

    21 reported fees, each with its payment basis, are listed below; they haven't been sorted into recurring, initial and occasional groups yet.

    Financial Performance — Item 19

    What results are disclosed—and for which locations?

    11 separate populations, shown apart. Revenue is not owner income.

    Locations counted: not stated in the reviewed record

    Other measures · 15 locations

    Who is counted
    Freestanding drive-thru Second Quartile (15 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 59 locations

    Who is counted
    Freestanding drive-thru All Reporting Freestanding Restaurants (59 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 15 locations

    Who is counted
    Freestanding drive-thru Third Quartile (15 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 15 locations

    Who is counted
    Freestanding drive-thru Fourth Quartile (15 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 14 locations

    Who is counted
    Freestanding drive-thru First Quartile (14 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 13 locations

    Who is counted
    Convenience/gas station drive-thru First Quartile (13 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 52 locations

    Who is counted
    Convenience/gas station drive-thru All Reporting C&G Restaurants (52 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Adjusted operating results · 17 locations

    Adjusted company-owned results: the franchisor adjusted these centers' expenses to estimate franchisee costs. They are not observed franchisee results or owner take-home income.

    Who is counted
    17 of59 reporting freestanding drive-thru restaurants providing P&L
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded. P&L excludes rent, convention travel,officer salaries/benefits,automobile/uncommon expenses; owner salary excluded; EBITDAR before interest,taxes,depreciation,amortization,rent.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes. Royalty/advertising adjusted to5%/5% (10%).

    Locations counted: not stated in the reviewed record

    Other measures · 13 locations

    Who is counted
    Convenience/gas station drive-thru Second Quartile (13 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 13 locations

    Who is counted
    Convenience/gas station drive-thru Third Quartile (13 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    Locations counted: not stated in the reviewed record

    Other measures · 13 locations

    Who is counted
    Convenience/gas station drive-thru Fourth Quartile (13 Restaurants)
    Excluded
    Seasonal21,freestanding without drive-thru38,C&G without drive-thru22,co-brand199,captive16,company-owned2 excluded.
    Method
    Unaudited franchisee submitted Net Sales, excludes local/state sales taxes.

    These groups are never combined. Adjusted company-owned operating results cannot be divided by franchised revenue to calculate a franchisee profit margin.

    Outlet Changes — Item 20

    How has the outlet count changed?

    Coverage not stated in the reviewed record · counts as of year end of each year.

    2026 FDD · Item 20 ·

    Questions to investigate

    Prompts based on what this brand's reviewed disclosures do and don't show — not conclusions. Join free as a member to save questions to your research.

    For the franchisor

    • Which line items in the 2026 Item 7 estimate ($227,095 – $1,640,034) vary most by market, and why?

    • Which initial fee option would apply to my situation, and what conditions or discounts affect it?

    • Which locations are included in the Item 19 figures, and which were excluded?

    • Is a territory available in my area, and how is it defined in my agreement?

    For current and former owners

    • How did your actual startup costs and timeline compare with the Item 7 estimate?

    • How many hours a week do you work in the business, and in what role?

    • How do your results compare with the Item 19 figures, and what explains the difference?

    • What support from the franchisor has been most and least useful?

    For your advisors

    • Ask a franchise attorney to review the territory, renewal, transfer and termination terms.

    • Ask an accountant to build a cash-flow plan using your own assumptions, not the franchisor's.

    Sources & vintage history

    Every displayed fact is retained with its disclosure vintage, item, page, and reviewed status. Prior vintages remain on file rather than being overwritten.

    Citations (2026 FDD)

    1. [1]Standard initial franchise fee — Item 5 · PDF p. 9
    2. [2]Item 19 — Locations counted not stated in the reviewed record — Freestanding drive-thru Second Quartile (15 Restaurants) · PDF p. 47
    3. [3]Item 19 — Locations counted not stated in the reviewed record — Freestanding drive-thru All Reporting Freestanding Restaurants (59 Restaurants) · PDF p. 47
    4. [4]Item 19 — Locations counted not stated in the reviewed record — Freestanding drive-thru Third Quartile (15 Restaurants) · PDF p. 47
    5. [5]Item 19 — Locations counted not stated in the reviewed record — Freestanding drive-thru Fourth Quartile (15 Restaurants) · PDF p. 47
    6. [6]Item 19 — Locations counted not stated in the reviewed record — Freestanding drive-thru First Quartile (14 Restaurants) · PDF p. 47
    7. [7]Item 19 — Locations counted not stated in the reviewed record — Convenience/gas station drive-thru First Quartile (13 Restaurants) · PDF p. 48
    8. [8]Item 19 — Locations counted not stated in the reviewed record — Convenience/gas station drive-thru All Reporting C&G Restaurants (52 Restaurant… · PDF p. 48
    9. [9]Item 19 — Locations counted not stated in the reviewed record — 17 of59 reporting freestanding drive-thru restaurants providing P&L · PDF p. 48; PDF p. 49; PDF p. 50
    10. [10]Item 19 — Locations counted not stated in the reviewed record — Convenience/gas station drive-thru Second Quartile (13 Restaurants) · PDF p. 48
    11. [11]Item 19 — Locations counted not stated in the reviewed record — Convenience/gas station drive-thru Third Quartile (13 Restaurants) · PDF p. 48
    12. [12]Item 19 — Locations counted not stated in the reviewed record — Convenience/gas station drive-thru Fourth Quartile (13 Restaurants) · PDF p. 48

    "PDF p." is the page in the PDF file; "printed p." is the number printed on the FDD page.

    Territory & operations

    442 addresses in Franopolis's imported location list. Coverage may differ from Item 20 outlet counts.

    These are contract disclosures, not confirmation that any territory is currently available.

    Legal & agreement

    Franchisor financial statements

    Fiscal yearMeasureReported value
    2024current portion of contract liabilities$548,755
    2024right-of-use asset - operating leases$1,574,210
    2024income before income taxes$2,083,258
    2024notes receivable, current portion, net$1,287,469
    2024accounts payableMore than one value recorded for this year — open the FDD source before comparing$134,366
    2024u.s. royalties$11,249,980
    2024net income$1,503,348
    2024net cash provided by operating activities$1,742,067
    2024operating lease liabilities, less current portion$1,323,046
    2024sales$1,266,160
    2024cost of sales-$967,115
    2024advertising trust fund remittances$450,364
    2024accrued expenses and other liabilities-$897,783
    2024capital expenditures-$28,668
    2024operating income$1,737,450
    2024purchase of certificates of deposit, net-$1,000,275
    2024total expenses$10,457,235
    2024deferred income taxes-$158,407
    2024reduction of operating lease rou asset$323,521
    2024cash and cash equivalents$2,872,922
    2024certificates of deposit, current portion$7,500,000
    2024franchise/licensee royalties receivable, net$878,374
    2024inventoriesMore than one value recorded for this year — open the FDD source before comparing$15,500
    2024other receivables, net$309,655
    2024prepaid income taxes$52,634
    2024prepaid expenses and other current assets$454,910
    2024total current assets$13,371,464
    2024property and equipment, net$2,508,383
    2024certificates of deposit, less current portion$500,000
    2024intangible assets, net$13,947,879
    2024other assets$109,165
    2024total assets$32,011,101
    2024accrued expenses$731,328
    2024current portion of operating lease liabilities$358,123
    2024current portion of deferred compensation$85,869
    2024total current liabilities$1,858,441
    2024deferred tax liability$2,758,471
    2024deferred compensation, less current portion$3,117,838
    2024contract liabilities, less current portion$851,102
    2024other non-current liabilities$2,475
    2024total liabilities$9,911,373
    2024members' equity$22,099,728
    2024franchise and other fee income$645,660
    2024total revenue$11,895,640
    2024gross profit, corporate units$299,045
    2024general and administrative expenses$9,037,017
    2024amortization$733,267
    2024loss on disposal of fixed assets$39,106
    2024depreciation$197,481
    2024interest income$288,245
    2024interest expense-$4,591
    2024other income$62,154
    2024total other income$345,808
    2024income tax provision-$579,910
    2024credit losses$221,765
    2024loss on impairment of rou asset$42,792
    2024royalties and other receivables-$144,398
    2024inventoriesMore than one value recorded for this year — open the FDD source before comparing-$364
    2024prepaid expenses and other assets-$73,731
    2024accounts payableMore than one value recorded for this year — open the FDD source before comparing$12,970
    2024operating lease liabilities-$353,876
    2024contract liabilities$168,327
    2024deferred compensation$128,049
    2024payments received on notes receivable$558,832
    2024net cash used in investing activities-$470,111
    2024dividends paid-$2,046,848
    2024net cash used in financing activities-$2,046,848
    2024net decrease in cash and cash equivalents-$774,892
    2024income taxes$702,223
    2024interest$4,591
    2023property and equipment, net$2,716,302
    2023intangible assets, net$14,681,146
    2023members' equity$22,643,228
    2023current portion of deferred compensation$30,000
    2023inventoriesMore than one value recorded for this year — open the FDD source before comparing$15,136
    2023other non-current liabilities$30,752
    2023current portion of operating lease liabilities$383,647
    2023prepaid income taxes$88,728
    2023royalties and other receivables$12,292
    2023purchase of certificates of deposit, net-$2,500,000
    2023gross profit, corporate units$365,340
    2023total expenses$10,551,599
    2023interest expense-$7,092
    2023accounts payableMore than one value recorded for this year — open the FDD source before comparing$13,573
    2023accrued expenses and other liabilities$415,050
    2023dividends paid-$2,246,979
    2023net decrease in cash and cash equivalents-$617,852
    2023cash and cash equivalents$3,647,814
    2023certificates of deposit, current portion$6,999,725
    2023franchise/licensee royalties receivable, net$1,106,017
    2023notes receivable, current portion, net$648,132
    2023other receivables, net$131,695
    2023prepaid expenses and other current assets$338,493
    2023total current assets$12,975,740
    2023notes receivable, less current portion, net$1,225,853
    2023right-of-use asset - operating leases$1,940,523
    2023other assets$115,757
    2023total assets$33,655,321
    2023accounts payableMore than one value recorded for this year — open the FDD source before comparing$121,396
    2023accrued expenses$1,600,834
    2023current portion of contract liabilities$152,475
    2023total current liabilities$2,288,352
    2023deferred tax liability$2,916,878
    2023operating lease liabilities, less current portion$1,651,398
    2023deferred compensation, less current portion$3,045,658
    2023contract liabilities, less current portion$1,079,055
    2023total liabilities$11,012,093
    2023u.s. royalties$11,149,143
    2023franchise and other fee income$583,001
    2023total revenue$11,732,144
    2023sales$1,387,172
    2023cost of sales-$1,021,832
    2023general and administrative expenses$9,066,254
    2023amortization$733,267
    2023advertising trust fund remittances$500,354
    2023loss on disposal of fixed assets$659
    2023depreciation$251,065
    2023operating income$1,545,885
    2023interest income$241,068
    2023other income$11,425
    2023total other income$245,401
    2023income before income taxes$1,791,286
    2023income tax provision-$572,424
    2023net income$1,218,862
    2023credit losses$87,071
    2023reduction of operating lease rou asset$398,973
    2023deferred income taxes-$107,320
    2023inventoriesMore than one value recorded for this year — open the FDD source before comparing$1,943
    2023prepaid expenses and other assets$2,941
    2023deferred compensation-$61,576
    2023operating lease liabilities-$376,621
    2023contract liabilities-$319,499
    2023net cash provided by operating activities$2,270,680
    2023payments received on notes receivable$75,648
    2023note disbursement-$80,055
    2023capital expenditures-$70,682
    2023proceeds from maturity of investments$1,934,699
    2023net cash used in investing activities-$640,390
    2023class a units redeemed-$1,163
    2023net cash used in financing activities-$2,248,142
    2023cash and cash equivalents, beginning of year$4,265,666
    2023income taxes$768,225
    2023interest$7,092

    These figures describe the franchisor company, not individual franchise locations.

    SBA-backed loans to franchisees

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    Source: U.S. Small Business Administration 7(a) & 504 FOIA data. Loan volume is not a measure of franchisee success.

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    At a glance

    Business history

    Not reviewed

    Owner participation

    Not reviewed

    Territory language

    Litigation disclosure

    Not reviewed

    Bankruptcy disclosure

    Not reviewed

    Agreement term

    Not reviewed

    Independent analysis of franchisor-provided data. Not investment advice. Franopolis does not distribute FDDs.