Smashburger
Food & Beverage · Fast-Casual Restaurants
- Active units
- 65
- Royalty
- 5.5%
Franchised, year-end 2024
of weekly Net Sales
About Smashburger
Smashburger is a popular fast-casual restaurant chain based in the United States, known for its gourmet burgers. The company was founded in 2007 by Tom Ryan, Rick Schaden, and private equity firm Consumer Capital Partners. Its headquarters are located in Denver, Colorado. The fundamental concept behind Smashburger is to provide customers with handcrafted burgers made from fresh, never-frozen meat, which is smashed on a grill to create a delicious sear. Alongside their signature burgers, Smashburger also offers a range of customizable options including chicken sandwiches, salads, sides, and shakes. With over 300 locations across the United States, Smashburger enjoys significant market presence and brand recognition. The franchise has expanded its operations globally and currently has outlets in various countries, including Canada, Saudi Arabia, Kuwait, Costa Rica, El Salvador, and the United Kingdom. In terms of subsidiaries and partnerships, Smashburger was acquired by Jollibee Foods Corporation, a Filipino multinational fast-food company, in 2018. This acquisition further strengthened Smashburger's position and provided the company with new growth opportunities in international markets. Within its competitive landscape, Smashburger faces competition from other fast-food giants such as McDonald's, Burger King, and Wendy's, in addition to numerous gourmet burger chains. However, the company's focus on quality ingredients and unique cooking technique has allowed it to differentiate itself and gain a loyal customer base. Over the years, Smashburger has continuously adapted its menu to cater to changing consumer preferences. They have introduced healthier options, gluten-free buns, and innovative burger creations to appeal to a wide range of customers. These strategic efforts have contributed to the brand's steady growth and recognition in the food industry. Currently, the latest updates on Smashburger's recent activities are not available. Nevertheless, the brand maintains a strong presence in the United States and abroad, offering its customers a unique and enjoyable dining experience.
Key terms
- Franchise fee
$40k
- Transfer of existing Smashburger Restaurant
No initial franchise fee if buying an existing Restaurant from another franchisee, provided the transfer fee is paid under the Consent to Transfer.
- Brand fund
2.3% of Net Sales
- Local advertising
3.0% of Net Sales
- Footprint
1,600 – 2,200 sq ft
- Multi-Unit Development Agreement
$20k
- Veteran discount
Not offered
Brand Percentile Rankings
Rankings compare brands in the same operating year. Fee and investment figures come from the FDD (2026 filing); filings on file: 2024, 2025, 2026.
Growth
- Total locations53
Franchised units open at year-end
- New openings2
Gross new units opened during the calendar year
- 1-year unit growth rate-18.5%
Net unit growth versus prior year
- 3-year unit CAGR-17.6%
Compound annual growth rate of unit count over the trailing 3 years
- Unit growth ratio0.1×
Cumulative opens / closures through year-end
Unit economics
- Annual unit volume (Median)—
Per FDD Item 19 disclosure
- Annual unit volume (25th percentile)—
Per FDD Item 19 disclosure
- Annual unit volume (75th percentile)—
Per FDD Item 19 disclosure
- 1-year Median AUV growth rate—
Year-over-year change in median AUV
- Store-level EBITDA Margin—
Median unit-level EBITDA / AUV
Investment profile
- Estimated initial investment$1.7M
Midpoint of estimated initial investment range
↓ Lower is better - Time to open8 months
Midpoint of average time from agreement to opening
↓ Lower is better - Royalty rate5.5%
Percent of net sales paid to the franchisor
↓ Lower is better - Sales-to-investment ratio—
Median AUV / estimated initial investment midpoint
- Cash-on-cash returns—
Median unit-level EBITDA / estimated initial investment midpoint. Steady-state estimate; year 1 returns will be lower as the unit ramps to median volumes.
Franchisee healthLocked
- Unit closure ratio
- Transfer vs. closure ratio
- Percent multi-unit franchisees
- Litigation rate
- EBITDA multiple on sales & transfers
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Sources
Financial and operating figures are sourced from the brand's Franchise Disclosure Documents. Brand percentile rankings are based on comparisons to other brands that include the same metrics in their Franchise Disclosure Documents.