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General

Industry

-

Category

Food and Beverage

SBA Identifier

S0449

Year of Founding

1984

Fees

Marketing Fee

2.5%

Royalty Fee

4%

Franchise Fee

$20,000-$55,000

Investment Range

$2.4M-$5.43M

Location units

Total U.S. Locations

782

U.S. Franchised Units

776

U.S. Corporate Units

6

Headquarters (City)

WI

Other

Item 19 - Franchise Financials

-

Financing Availability

yes

Started Offering Franchises

1990

Issuance of FDD Data

03/30/2021

What to know about Culver's franchise?

If you sign a franchise agreement, you will operate a Culver's Restaurant offering burgers, sandwiches, salads, dinners, frozen custard desserts, beverages and other menu items in a quick-service setting. Certain existing Culver's franchisees meeting our criteria also may enter into a multiple unit development agreement with us to develop multiple Culver's® Restaurants.

Culver's is based in Prairie du Sac, WI. Scroll down to learn more!

How Much Does a Culver's Franchise Cost?

Are you wondering how much is a Culver's franchise? Before starting a Culver's franchise, it is important to know the Culver's franchise fee ($37,500) working capital and other costs required to start the business.

The minimum investment amount required to open a Culver's franchise is $2,398,000 and can go all the way up to $5,432,000. Keep in mind, you should also allocate additional funds to live off of while the Culver's business ramps up. This can take as little as 6 months to over 2 years depending on the franchise opportunity. You should speak to at least 5 Culver's franchisees to understand the true cost of opening the franchise and how long it takes to: 1) start a Culver's business 2) pass break even 3) hit significant income.

After (and if) you pass the point of earning significant income from your Culver's franchise, there may be enough margin to hire a day-to-day manager and work less hours in the business.

Franchise Net Unit Growth

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Industry Report Request

Download our guide to compare Culver’s. Hotels to the Cleaning and Maintenance, Outdoor Maintenance industry.

Franchise Data

Year Start of year Units Opened Units Closed Total End of Year
2016 552 46 0 597
2017 597 37 0 634
2018 634 46 1 680
2019 680 46 0 726
2020 726 50 0 776

Additional Details

How much does a Culver's franchise owner make?

Culver's franchise earnings and revenue can vary significantly from one franchisee to another. The Culver's franchise owner profits can be influenced by labor costs, lease rates, hours worked as well as other factors.

Culver's discloses financials at the unit level. In other words, they show how much Culver's franchisees made in the past. Through analyzing this information available in the metrics tab, it can serve as a good basis to further explore the opportunity or not.

At Vetted Biz, we advise you to speak with 5 to 10 franchisees to understand how much money they are making from the Culver's franchise. Roughly 60% of franchises disclose financials and it makes the process easier when filtering potential franchise opportunities like Culver's. Don’t just speak to existing franchisees, call franchisees who have recently left the system and try to find out how much those Culver's owners were making.

Visit the Culver's metrics tab, to explore the financials for this business.

What is the Culver's Franchise Fee?

Owning a Culver's franchise requires a 4% royalty fee and a 3% marketing fee. These two expenses represent the main ongoing costs you can expect to pay the franchisor throughout the franchise relationship.

Keep in mind, there is also an initial Culver's franchise fee of $37,500 that is included in the initial investment amount of $2,398,000 to $5,432,000. Depending on the franchise agreement you sign, you might have to pay the full franchise fee again if you decide to extend the Culver's franchise relationship. Consult with a licensed franchise attorney to understand exactly what you receive for paying the Culver's franchise fee of $37,500.

Visit the Culver's metrics tab to explore how the franchise, royalty and marketing fees compare to other Food and Beverage franchises. You can also compare these fees for 2,000+ franchises currently offered in the U.S.

When was Culver's founded?

Culver's was founded 38 years ago in 1984. Culver's started offering franchises in 1990. At Vetted Biz, we recommend franchises have 3-5 corporate locations and 5+ years of experience before offering a franchise. There needs to be proof that the business model works and is replicable before offering the franchise to other!

How many Culver's locations are in the U.S.?

As of Issuance of 2021, there were 776 Culver's locations owned and operated by franchisees across the U.S. There are also 6 corporate locations owned and operated by Culver's. Most Food and Beverage franchises like Culver's have more franchised locations than corporate locations.

How many Culver's franchises opened over the past few years?

Over the prior 3 years we have data for, Culver's has opened 142 outlets throughout the U.S.

Visit the Culver's metrics tab to explore how the openings compare to other Food and Beverage franchises.

How many Culver's franchises closed over the past few years?

Over the prior 3 years we have data for, Culver's has closed 1 outlets throughout the U.S.

Visit the Culver's metrics tab to explore how the closures compare to other Food and Beveragefranchises.

Is Culver's growing? Are they opening more locations than they are closing?

The net unit growth rate for Culver's over the past 3 years is 22%. Over the last year we have data for, Culver's had a net unit growth rate of 7%.

Without a comparison, this number doesn’t mean much. Compare how the Culver's growth rate compares to 2,000+ other franchises and Food and Beverage franchises like Culver's. More info in the Culver's metrics tab.

Is Culver's franchise eligible for an SBA Loan?

Culver's is eligible for SBA loans including the 7(a) loan. To find out more about the SBA loan program for franchising click here.

Culver's franchise was assigned the SBA Franchise ID of S0449 on 10/1/2017. This DOES NOT mean the SBA endorses this franchise. The SBA Franchise Directory will only include business models like Culver's that are reviewed and found eligible under SBA's affiliation rules and other eligibility criteria.

Is Culver's a franchise in the United States?

According to the SBA, Culver's meets the Federal Trade Commission (FTC) definition of a franchise. The FTC Franchise Rule requires franchisors to provide all potential franchisees with a disclosure document (FDD) containing 23 items about the franchise, its officers, and other franchisees. Be sure that Culver's provides you with an FDD if you are in discussion to buy a Culver's.

What is the Culver's Franchise for Sale Rate?

The Culver's systemwide health and franchisee satisfaction can be measured by the Culver's franchise for sale rate. The franchise for sale rate is calculated by the percentage of units transferred to new franchisees and reacquired by franchisor.

The franchise for sale rate for Culver's over the past 3 years is 8%. Over the last year we have data for, Culver's had a franchise for sale rate of 3%.

Without a comparison, this number doesn’t mean much. Compare how the Culver's franchise for sale rate compares to 2,000+ other franchises and Food and Beverage franchises like Culver's. More info in the Culver's metrics tab.

What is the Culver's Franchise Failure Rate?

Culver's franchise failures comprise franchise terminations, franchise non-renewals, and franchises that ceased operations for other reasons. The failure rate is one of the most important franchise metrics to consider when investing in a franchise!

Culver's failure rate over the past 3 years is 0%. Over the last year we have data for, Culver's had a franchise failure rate of 0%

Without a comparison, this number doesn’t mean much. Compare how the Culver's failure rate compares to 2,000+ other franchises and Food and Beverage franchises like Culver's. More info in the Culver's metrics tab.

How can I find out more details on Culver's franchise?

Visit the Culver's metrics tab to explore franchise profitability, industry comparables and more. Become a Vetted Member today for exclusive access on this franchise opportunity!

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General

Industry

-

Category

Food and Beverage

SBA Identifier

S0449

Year of Founding

1984

Fees

Marketing Fee

2.5%

Royalty Fee

4%

Franchise Fee

$20,000-$55,000

Investment Range

$2.4M-$5.43M

Location units

Total U.S. Locations

782

U.S. Franchised Units

776

U.S. Corporate Units

6

Headquarters (City)

WI

Other

Item 19 - Franchise Financials

-

Financing Availability

yes

Started Offering Franchises

1990

Issuance of FDD Data

03/30/2021

Franchise Fee Midpoint

The percentage change of total franchise units from one year to the next

 

1 year

3 years

Culver’s

7%

7%

Industry median

All franchises median

Unlock premium content

Franchise Disclosure Document

Download Latest FDD (2021)

Net Unit Growth (most recent year)

Net Unit Growth (3 years)

Failure Rate

Franchise failures comprise franchise terminations, franchise non-renewals, and franchises that ceased operations for other reasons.

 

1 year

3 years

Culver’s

[0%]

[0%]

Industry median

All franchises median

Unlock premium content

Franchise for Sale Rate

The percentage of units transferred to new franchisees and reacquired by franchisor.

 

1 year

3 years

Culver’s

3%

8%

Industry median

All franchises median

Unlock premium content

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Investment Midpoint

The average of the low and high range of the investment amounts calculated from the most recently available Franchise Disclosure Document

Culver’s

$3,915,000

Industry median

All franchises median

Unlock premium content

Royalty Fee

The median royalty fee from the Franchise Disclosure Document

Culver’s

4%

Industry median

All franchises median

Unlock premium content

Franchise Fee Midpoint

The percentage change of total franchise units from one year to the next

 

1 year

3 years

Culver’s

7%

7%

Industry median

All franchises median

Unlock premium content

Item 19 – Financial Performance Representations

Historical financial performance representations

Unlock premium content

Franchise Financials

Franchisor company financial information and financial performance representations, if disclosed by the franchisor.

Unlock premium content

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Business details

Company name

-

Business email

-

Mailing address

1240 Water Street

State headquarters

Wisconsin

Key leadership

Culver’s

Phone

+1 (000) 000-00-00

City

Prairie du Sac

Zip code

53578

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