Fuddruckers Franchise

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Detailed Information

Capital Required
$740,000 - $1,500,000

Liquid Capital
$400,000

Financing Assistance
No Financing Available

Training and Support
Available

Initial Franchise Fee
$35,000

Average Sales Last Year
$969,000

CEO Name
Christopher J. Pappas

Company Owned Units
60

Existing Units
156

 

Overview

Luby's Fuddruckers Restaurants LLC operates franchise restaurants under the names Fuddruckers and Fuddruckers, World's Greatest Hamburgers. There are both company-owned and franchised Fuddruckers restaurants in operation.

The Fuddruckers brand centers on upscale fast food. While burgers are the main offering, there are numerous other menu options to satisfy customers of all ages. Burgers are made with 100% USDA premium-cut, never-frozen beef. Most locations feature local, seasonal specialty burgers, premium toppings, and milkshakes. Fuddruckers patties are available in larger sizes (1/3, 1/2, and 2/3 lb.) than most other fast-food hamburgers. The diverse menu also features a variety of other items, including hot dogs, fish sandwiches, onion rings, salads, chicken sandwiches, baked goods, French fries, and steak sandwiches. Most restaurants feature an on-site bakery that produces fresh hamburger buns along with cookies, brownies, and other desserts. Another highlight of the brand is a freestanding kiosk featuring fresh vegetables, condiments, and toppings that customers can serve themselves. Unlike many competing fast-food chains, Fuddruckers also sells alcoholic beverages (mixed drinks, wine, and beer) in locations where permitted by law.

Most Fuddruckers locations are approximately 3,000 to 5,500 square feet in size. This building size can usually accommodate 110 to 200 diners. Fuddruckers restaurants generally feature Americana-style décor relating to movies, rock 'n' roll music, notable historic events, and other similar themes. The bright lighting, upbeat music, fast-service convenience, diverse menu, and availability of alcohol are designed to appeal to the target demographic of young adults between 20 and 49 years of age.

Why Choose Us?

Fuddruckers offers franchisees the chance to succeed in the competitive fast-food market. Several locations in various parts of the US have received "Best Burger" awards in their respective cities. Franchisees may have significant potential for growth through multi-unit opportunities and build-out options, including non-traditional venues and end-cap locations.

Ideal Candidate

This brand generally prefers franchisees who want to invest in multiple restaurants. Entrepreneurs interested in multi-unit opportunities must have the ability to cover the $35,000 initial franchise fee plus $10,000 of the initial franchise fee for each additional restaurant. Franchisees must be willing to seek financing on their own, as the company does not offer any.

History

Fuddruckers was founded by Philip J. Romano in 1980 in San Antonio, Texas. Franchising began four years later. The original concept revolved around the idea of an upscale fast-food hamburger. Unique features, such as freshly baked buns, desserts, alcoholic beverages, and self-serve condiments, helped the brand establish itself as a step up from competitors.

In December 1995, Luby's Restaurants, L.P. was formed as a Texas limited liability company. The name was changed to Luby's Fuddruckers Restaurants, LLC in July 2010. LFR officially acquired the Fuddruckers System and began operating and franchising restaurants in July 2010. However, the history of Fuddruckers franchises is slightly more complicated. From 1980 to 2010, there were Fuddruckers restaurants operated by Fuddruckers, Inc., an affiliate of the Delaware limited liability company Magic Brands, LLC. Magic is the company that franchised Fuddruckers from 1999 to 2010, though it never owned or operated any restaurants. As of August 2018, there are both operated and franchised Fuddruckers restaurants in the US and its territories. There are also franchises in Mexico, Canada, Columbia, and Panama.

Training And Support

An eight-week management training is required for three managers (including the general manager) prior to opening. Additionally, franchisees receive assistance from an "Opening Team" for one to two weeks. These experts help franchisees train employees and begin operations.

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