Habit Burger Franchise Cost 2026: Multi-Unit Terms, Fees

Habit Burger’s April 3, 2026 FDD lists an estimated $1,031,500 to $2,864,500 to open one build-to-suit end cap or standalone restaurant, with or without a drive-thru. An area development agreement plus the first restaurant is $1,083,500 to $3,139,500. Habit markets its franchise opportunity to multi-unit operators; the single-restaurant estimate is not the cost of completing an entire development agreement.

Habit Burger franchise cost from the April 3, 2026 FDD

The April 3, 2026 FDD is the primary cost source below. Its cover date identifies the edition, despite the hosting URL’s 2025 filename.

Disclosure	April 3, 2026 FDD terms
Cover: one restaurant	$1,031,500 to $2,864,500 for build-to-suit end cap and standalone locations, with or without a drive-thru; includes $98,500 to $129,400 paid to the franchisor or affiliate
Cover: area development agreement plus first restaurant	$1,083,500 to $3,139,500; includes $148,500 to $379,400 paid to the franchisor or affiliate
Item 5: initial franchise fee	Standard fee of $35,000, payable at signing
Item 5: development fee	$10,000 multiplied by the minimum number of restaurants in the agreed schedule; expected total $50,000 to $250,000, payable at signing and nonrefundable; $10,000 credited toward each covered restaurant’s initial franchise fee
Item 6: royalty	5.5% of Gross Sales
Item 6: advertising fund	Currently 2% of Gross Sales; the franchisor may require up to 4.5%
Item 6: local advertising	Currently 0.5% of Gross Sales; the franchisor may require up to 4.5%
Item 6: combined advertising cap	Advertising fund and local advertising together may not exceed 4.5% of the restaurant’s Gross Sales in a calendar year
Item 6: technology fee	Currently $600 per month; adjustable up to actual service costs, typically on 60 days’ written notice
Item 12: territory	Neither the restaurant franchise nor the area development agreement grants an exclusive territory
Item 17: term and renewal	Begins on the franchise agreement’s effective date and ends 10 years after the restaurant lease is signed; one additional 10-year term subject to compliance and renewal conditions; current renewal fee $17,500

Item 5 ties the development fee to the minimum restaurant count in the agreed schedule; it does not state a universal restaurant-count minimum. Item 12 says the number of restaurants and opening dates are negotiated before signing. The development fee credit means it should not be treated as an extra $10,000 franchise fee for each restaurant.

Gross Sales definition: Item 6 includes all revenue and income derived directly or indirectly from restaurant operations, including takeout, catering, online and third-party delivery orders, special events and permitted non-restaurant operations using the marks, whether paid in cash or credit and regardless of collection. Exclusions cover qualifying sales taxes remitted to taxing authorities, tips passed to employees, returns to shippers or manufacturers, and qualifying isolated sales of trade fixtures. Employee meals and coupon, gift-card and voucher proceeds are included, with the discount and redemption credits specified in Item 6. Other exclusions require franchisor authorization and may be withdrawn.

Item 6 permits changes to each advertising contribution on reasonable notice, not to exceed 30 days, subject to the combined annual cap. The Item 6 guide explains how to review recurring fees alongside their calculation bases.

Item 7 investment breakdown

Expenditure	Estimated amount
Initial franchise fee	$35,000
Real estate / three months’ rent	$36,000 to $54,000
Security deposits	$15,000
Construction, remodeling, leasehold improvements and decorating	$150,000 to $1,700,000
Furniture, fixtures, other fixed assets and equipment	$540,000 to $650,000
Signage	$30,000 to $120,000
Digital menu boards	$5,500
Opening inventory and supplies	$40,000 to $50,000
Grand opening advertising	$10,000
Brand standard training expenses, out of pocket	$60,000 to $75,000
Miscellaneous opening costs	$20,000 to $30,000
Additional funds, three months	$90,000 to $120,000
Total estimated initial investment	$1,031,500 to $2,864,500

Item 7 excludes the potential cost of purchasing real estate. Its equipment note excludes the approximately $63,500 to $84,400 payable to the franchisor for certain IT components and services described in Item 5; its construction note includes a portion paid for IT installation services. These are the FDD’s published categories and total, not a revised estimate. Additional funds exclude owner draws or salaries, and the FDD cautions that more working capital may be needed.

The area development table adds a $50,000 to $250,000 development fee and $2,000 to $25,000 of additional funds for three months: $52,000 to $275,000 before the first restaurant’s investment. Its published total with that restaurant is $1,083,500 to $3,139,500. It does not include opening every restaurant in the development schedule. The Item 7 guide explains how to compare investment tables.

Financial qualifications: Searches of the FDD text for net worth, liquid capital, liquid assets and liquidity located no dollar applicant minimum. The cited franchise FAQ, checked October 14, 2026, calls for “access to substantial liquid capital to meet the development obligations of multiple restaurants in the market you are requesting to develop…” without a dollar threshold.

Item 20 outlet counts

Item 20, Table No. 1, reports the following 2025 rows. The FDD’s fiscal year ended December 30, 2025.

Outlet type	Year	Outlets at start of year	Outlets at end of year	Net change
Franchised	2025	61	82	+21
Company-Owned	2025	316	301	-15
Total Outlets	2025	377	383	+6

Ownership and scale

Habit’s franchise information page says it “is a subsidiary of Yum! Brands, Inc.” (checked October 14, 2026). FDD Item 1 identifies The Habit Restaurants, LLC as the direct parent of HBG Franchise, LLC and states: “Restaurants Inc. is now wholly-owned by YUM, which is now our ultimate parent.”

Yum’s FY2025 Form 10-K reports 384 Habit Burger & Grill units in 2 countries and territories, 22% franchised, for the year ended December 31, 2025. That is Yum’s reported division count; the FDD’s Item 20 table above separately reports 383 outlets.

Who Habit Burger is looking for

Habit’s franchise information page invites inquiries about becoming a multi-unit franchisee. Its FAQ says “almost all franchise relationships are entered into with an area development agreement”.

The FDD’s single-restaurant cost table gives a unit-level budget. It does not establish that a single-unit applicant will be accepted. Development count, opening schedule and financial qualifications belong in the proposed agreement review.

A dated note on the site’s 2023 figures

As of October 14, 2026, Habit’s franchise information page still shows $1.4 million to $1.8 million “before TIA” and labels its figures “*Based on 2023 FDD”. The April 3, 2026 FDD’s own ranges appear above; that FDD does not use the term “TIA” or the phrase “tenant improvement”.

Who this suits

Habit’s stated focus is a multi-unit operator with access to capital for multiple restaurant openings. The April 3, 2026 FDD puts one restaurant at $1,031,500 to $2,864,500 and an area development agreement plus the first restaurant at $1,083,500 to $3,139,500. A full development budget must also account for the remaining restaurants in the negotiated schedule.

For other burger franchise profiles, compare Culver’s, Freddy’s, BurgerFi and Five Guys’ U.S. franchise availability. Whataburger’s franchise cost page adds another dated profile to the comparison.

SBA Franchise Directory: Habit Burger Grill was not found in the SBA’s Franchise Directory file effective October 9, 2026 (searched Habit Burger Grill, checked October 14, 2026). Under SBA SOP 50 10 8.1, a brand that meets the FTC definition of a franchise must be on the Directory for SBA financing, so ask the franchisor and your lender about its status before planning an SBA loan. See how to check the SBA Franchise Directory.

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Questions to ask Habit Burger before you sign

• What restaurant count, opening deadlines and development area will the proposed agreement require?
• How will the $10,000-per-restaurant development fee credit appear in the payment schedule?
• Which site-specific costs fall outside the Item 7 estimates, including real estate purchases and IT components?
• What capital must remain available throughout the full development schedule?
• How will changes to advertising contributions and technology fees be communicated and budgeted?
• What competition could enter the development area given the absence of exclusive territory?
• What remodeling and other conditions would apply to the conditional 10-year renewal?
• Will a franchise attorney and an accountant review the full FDD and proposed agreements before signing?