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Wayback Burgers Franchise Costs & Fees

Date of Incorporation: 1991
Franchising Since: 2006
Headquarters: Cheshire, Connecticut

Business Description: The franchisor is Jake’s Franchising LLC. Wayback Burgers restaurants are restaurants specializing in hamburgers, old-fashioned, hand-dipped milkshakes in several select flavors, distinctive chicken sandwiches, hot dogs, cheese dogs, salads and merchandise, and an approved, limited menu of side orders and drinks.

Franchise Offer: The franchisor offers a franchise to establish and operate a Wayback Burgers restaurant.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee franchisees’ note, lease or obligation. Wayback Burger franchisees are eligible for expedited and streamlined SBA loan processing through the SBA’s Franchise Registry program.

Training and Assistance: The initial mandatory training program will take place in Cheshire, Connecticut, or at another location that the franchisor chooses. The duration is normally 15 days. This initial training will be provided to the franchise’s individual majority owner, and one designated manager. Before attending the initial training program, the individual majority owner and each manager and assistant manager must attend and successfully complete a ServSafe certification program, at the franchisee’s sole expense. The franchisor may require franchisees or their manager to receive or attend additional or advanced training as it may reasonably require, and franchisees must pay the then-current training fee, or whatever charge is made by third-party trainers, plus travel, food, and accommodations, and all other necessary expenses, subject to increase.

Territory: Franchisees will not receive an exclusive territory under the franchise agreement. Franchisees may face competition from other franchisees, from outlets the franchisor owns, or from other channels of distribution or competitive brands that it controls. The franchise is granted for a specific location approved by the franchisor.

Term of Agreement and Renewal: The length of the initial franchise term is 20 years. Franchisees have the right to renew the Franchise Agreement for 2 consecutive terms of 5 years each.

Obligations and Restrictions: Franchisees or their designated manager who has completed the initial training program must devote full time and best efforts to the management and operation of the franchised business. Franchisees or their designated manager must be on the premises operating the restaurant during peak hours of restaurant operation as the franchisor specifies in writing. Each equity or voting owner who owns 5% or more of the franchised business must personally guarantee the Franchise Agreement including confidentiality and non-competition covenants. To maintain uniform quality standards, franchisees must follow the franchisor’s directions concerning the services and products they provide.

Estimated Number of Units: 100

Investment Tables:
Initial Investment
Name of Fee Low High
Initial Franchise Fee $35,000 $35,000
Leasehold Improvements $40,000 $150,000
Initial Rent Outlays $2,500 $12,000
Equipment $65,500 $136,500
Outside Fixtures and Furnishings $5,000 $10,000
Signage $3,000 $25,000
Initial Inventory $6,000 $8,000
Supplies $5,000 $7,500
Travel and Living Expenses During Training $1,000 $10,000
Utility Deposits $0 $5,000
Prepaid Insurance Premiums $500 $5,000
Permits and Licenses (including design fees) $1,000 $10,000
Grand Opening Advertising $5,000 $5,000
Additional Funds and Miscellaneous $5,000 $20,000
ESTIMATED TOTAL $174,500 $439,000
Other Fees
Type of Fee Amount
Royalty Greater of the following: (i) 5% of total weekly Gross Sales or (ii) $400 per week.
Continuing Local Marketing and Advertising 2% of monthly Gross Sales.
Regional Advertising Cooperatives Up to 2% of weekly Gross Sales.
Advertising Fund 2% of weekly Gross Sales.
Advisory Council Fee As determined by Advisory Council.
Interest 18% per annum, or maximum rate permitted by law, whichever is less.
Insurance Cost of insurance and, if not obtained by franchisees, the franchisor’s procurement expense.
Audit Fees Cost of audit.
Training Then-current training fee and amount of expenses, currently $200 per person per day.
Site Selection Amount of the franchisor’s expenses for on-site evaluations.
Transfer Fees 50% of the then-current initial franchise fee per restaurant; or the franchisor’s actual expenses if transfer is to entity the franchisee forms.
Renewal Fee 10% of the then-current initial franchise fee.
Fees on Default and Indemnity Cost of collection and attorneys’ fees.
Cost of Approval of Supplier and for Testing Samples of Items Actual cost of evaluation.
Computer, Website, Point-of-Sale and Other Equipment Maintenance, Upgrades, Updates Approximately $300 to $2,000 per year.
Refurbishment Approximately $500 to $5,000 per year.
Walmart Sublease Fees Percentage rent 2% - 12% of gross revenues per month; insurance fee $0 - $300 per month, common area maintenance fee: $975 - $2000 per month.

The above information has been taken from the FDD of Wayback Burgers. Year of FDD: 2015

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