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Burger King Corporation
 

The BURGER KING® system operates more than 12,000 restaurants in all 50 states and in 73 countries and U.S. territories worldwide. Approximately 90 percent of BURGER KING® restaurants are owned and operated by independent franchisees, many of them family-owned operations that have been in business for decades. In 2008, Fortune magazine ranked Burger King Corp. (BKC) among America's 1,000 largest corporations and in 2010, Standard & Poor's included shares of Burger King Holdings, Inc. to the S&P MidCap 400 index. BKC was recently recognized by Interbrand on its top 100 “Best Global Brands” list and Ad Week has named it one of the top three industry-changing advertisers within the last three decades. To learn more about Burger King Corp., please visit the company's Web site at www.bk.com.

Franchisor Background

Year Established:

  1954

Franchising Since:

  1961

IFA Member



Operating Units:

Franchised Units:10,144 90.4%  
Company-Owned Units:1,079 9.6%  
 ______ _____  
Total Operating Units:11,223 100%  
 

Geographic Distribution:

U.S.:7,250 60% In 50 States
Canada:295 2.4% In 10 Canadian Provinces
International:4,533 37.5% In 73 Foreign Countries
 ______ _____  
Total:12,078 100%  
 

North America:

States/Provinces with the largest number of operating units:
DensityUnits    

Registered in Following Registration States:

   California, Florida, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, Wisconsin, District Of Columbia, Alberta

Financial Requirements

Investment:

Minimum Net Worth:$1.5MM (available to invest in 1 restaurant)
Cash Investment:$Varies
Total Investment:$294K-2.8M
Average Total Investment:$1547K
 

Fees:

Initial Franchise Fee:$50K
Average Franchise Fee:$50K
On-Going Royalty:4.5%
Average Royalty:4%
Advertising Fee:4%

Average Number of Employees:

   15 Full-time, 35 Part-time

Space Needs (in square footage):

   3,600

Preferred Sites:

   Free-standing Building, Storefront, Regional Mall

Other Sites:

  

Encourage Conversions?

   Yes

Earnings Claims Provided?

   No

Listed in the SBA Registry?

   No

Support and Training

International Franchise Association:Yes
Canadian Franchise Association:No
Franchisee Association/Member:Yes, Member
Size of Corporate Staff:928
Site Selection Assistance?Yes
Lease Negotiation Assistance?Yes
Financial Assistance?No
 

Marketing Support:

Co-Op Advertising:No
National Advertising:Yes
Regional Advertising:No
Local Advertising:No
Marketing Materials:None Specified
Additional Services:None Specified
Other Marketing Support:None Specified
 

On-Going Support:

Central Data Processing:Not Applicable
Central Purchasing:Not Applicable
Field Operation Evaluation:Included in Fees
Field Training:Included in Fees
Initial Store Opening:Included in Fees
Inventory Control:Included in Fees
Franchisee Newsletter:Not Applicable
Regional or National Meetings:Included in Fees
800 Telephone Hotline:Not Applicable
 

Training:

1. Restaurant440 Hours
2. Classroom240 Hours
 

Franchisee Qualifications

Ranked from 1 (unimportant) to 5 (important):
 
Financial Net Worth:N/A
General Business Experience:N/A
Specific Industry Experience:N/A
Formal Education:N/A
Psychological Profile:N/A
Personal Interview(s):N/A

Minority Representation

Units Owned by Minorities:

African-American:N/A
Asian-American:N/A
Hispanic:N/A
Native American:N/A
Other:N/A
Specific Minority:N/A

Terms of Contract

Term of Initial Contract:20 Year(s)
Term of Renewal Period:20 Year(s)
Passive Ownership:Allowed
Area Development Agreements?No
Sub-Franchising Contracts?No
Franchisees Allowed to Expand Within Territory?Yes

Expansion Plans

Projected New Units Over Next 12 months:

  
U.S.:Yes, All United States
Canada:Yes, All Canada
Overseas:Yes, All Countries
 
 
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