In N Out Franchise Cost, Fees & Profit 2024

If you are living in California or the Western United States or just passed by those regions, you probably saw a full In-N-Out Burger.

This fast-food restaurant chain that is extremely famous in the Western United States is one of the most profitable ones.

They have been operating as a family business for decades with their simple menu.

You might have thought whether it would be a good idea to own an In-N-Out Burger through franchising.

Since they are very profitable and popular, it would be easy to get a store running and make a profit.

However, this might not be the case. This article will explore In N Out Burger Franchise Cost & Owner Salary and its franchise opportunities.

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History Of In-N-Out Burger’s 

In-N-Out Burger Franchise

In-N-Out Burger is a fast-food restaurant chain that is famous for its burgers, fries, and shakes.

The restaurant was founded in 1948 in Baldwin Park, California, as a drive-thru hamburger stand.

Since then, it has become a household name in the western part of the United States and has gained a cult-like following of fans who rave about its fresh ingredients and secret menu items.

In-N-Out Burger is known for its strict adherence to quality and consistency in its food.

The company has a simple menu, which includes burgers, fries, drinks, and shakes, and all its food is made to order with fresh ingredients.

In-N-Out Burger has a loyal customer base that keeps coming back for its delicious food, friendly service, and affordable prices.

The company has even been the subject of many articles and documentaries over the years.

Despite its grazing popularity, In-N-Out Burger has been hesitant to expand to the East Coast.

They voiced concerns about maintaining the quality of its food and the freshness of its ingredients.

For those interested in their franchise, knowing the IN-N-Out menu prices can be crucial in making an informed decision about the potential profitability and affordability of the venture.


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In-N-Out Burger History

Many people wonder who owns In-N-Out Burger, as its ownership remains closely held and has been maintained by the Snyder family for several generations

In-N-Out Burger was founded by Harry and Esther Snyder as a simple drive-thru hamburger stand. At the time, In-N-Out was the first of its kind in California.

This helped its popularity as people were able to quickly get their food from their cars.

In-N-Out aims to give their customers the freshest, highest quality foods and provide friendly service in a clean environment.

Their instant fame led the Synder family to quickly expand their business by opening more locations in Southern California.

In the 1970s, In-N-Out Burger started to expand beyond California. They started to open restaurants in Nevada and Arizona.

Today, the chain has over 350 locations across California, Arizona, Nevada, Utah, Texas, and Oregon.

In-N-Out Burger is now run by the third generation, Lynsi Snyder. Even though it is now the third generation, the company has barely changed since its grandfather founded it.

The basic principles were and are the same. That is to keep the menu simple, maintain quality at all times, and be loyal to the employees.

If you are considering opening an In-N-Out Burger at your location, it is crucial to familiarize yourself with the In-N-Out Menu with Prices 2024. This will enable you to assess the costs associated with the menu items and make informed decisions while planning your business venture.


Franchise Model Table

Cost Or FeesAmount
Franchise NO
Franchise-FeeNO (Doesn’t Franchise)
Estimated Outlets387

Is In-N-Out Burger A Franchise?

In-N-Out Burger does not currently offer franchise opportunities, and the company has no plans to franchise its stores in the near future. In-N-Out Burger remains a privately held company and maintains strict control over its operations and quality standards by owning and operating the majority of its restaurants.


How Much Does It Cost To Open An In-N-Out Burger Franchise?

Since they are not a franchise, there are also no costs associated with opening an In-N-Out Burger franchise.


Why Doesn’t In-N-Out Burger Offer Franchising?

Why Doesn't In-N-Out Burger Offer Franchising

Lynsi Snyder, now the third generation of Snyders, has made several explanations over the course of the years about the reason why they are not franchising.

There are several reasons behind this decision, and these reasons make us believe that they will never franchise. In addition to not franchising, they are also not thinking of going public.

They do not franchise because they do not want to lose the quality of their food to excessive rapid growth.

They believe that it’s not easy to maintain the same quality and service consistency across all locations once the company expands rapidly.

They have a highly loyal customer base, and several customer satisfaction surveys show them as one of the top fast food chains.

In addition to losing the quality of the food and the customer-centric approach, they will also have to give equity to the business.

The couple also does not want that and wants to keep the business family-owned. This is also the reason why they are not planning on going public as a company.


In-N-Out Burger Revenue & Profit

In-N-Out Burger is not a public company, which means that they are not obligated to share its financial information with the public.

That’s why there are no certain revenue or profit numbers from the company from official resources. However, there are some estimations that might be true or wrong.

What Is In N Out Owner Salary? A report from Wolf of Franchises suggests that In-N-Out Burger makes about $4.5 million a year, way higher than any other fast-food chain.

While this number is not confirmed or an official number, it could be true, considering their popularity.


What Are Some Alternatives to In-N-Out Burger Franchise?

Just because In-N-Out Burger doesn’t franchise doesn’t mean that you can’t have a fast-food chain restaurant’s franchise branch.

There are other companies franchising their business in the same industry. Here are two of those alternatives.

Five Guys

Five Guys

Five Guys is a fast-food restaurant chain that specializes in burgers, fries, and hot dogs.

They are by far one of the most popular fast-food chains in the United States and in other countries they operate.

They are headquartered in Arlington, Virginia, and this is also where they were founded.

Five Guys are known for its fresh, never frozen beef burgers, which customers can customize with a variety of toppings and fries cooked in peanut oil.

The company takes pride in its commitment to quality and customer service.

Each of their locations is designed to be clean, welcoming, and family-friendly, despite most of them being franchise branches.

If you’d like to open a Five Guys franchise, you need to be ready for the initial investment. In total, you can expect to spend somewhere between $306,200 to $716,250.

This calculation includes the one-time franchise fee, which is $25,000. In addition to the franchise fee and initial investment, franchisees must also pay a royalty fee of 6% of gross sales and a marketing fee of 2% of gross sales.

Costs associated with opening a Five Guys franchise include equipment, inventory, and leasehold improvements.

Five Guys’ history began with the Murrell family’s decision to start a burger joint in Arlington, Virginia, in 1986.

The family consists of four sons and parents, who are the original “Five Guys.” In 2003, Five Guys began franchising, and today, the company has over 1,500 locations in 10 countries.

Despite its rapid growth, Five Guys remain committed to its core values of quality, cleanliness, and customer service. They continue to be a popular destination for burger lovers around the world.

Smashburger

Smashburger is another fast-food restaurant chain similar to Five Guys specializing in burgers, chicken sandwiches, salads, and sides.

They are not as popular as Five Guys or other major brands, but they still have a customer base that loves their taste. Smashburger is known for its “smashing” technique.

They use never-frozen, fresh beef patties and smash them on a hot grill to create a caramelized crust. This makes a juicy burger different from most other chains’ burgers.

Just like Five Guys, you can also open a Smashburger franchise, but you need to have the resources for the initial investment.

The franchise fee is $40,000, and the total initial investment can range from $941,000 to $2 million.

This initial investment depends on factors such as the location and size of the restaurant. Once you get the franchise going, you also need to pay an ongoing royalty fee of 5.5% of gross sales.

Smashburger is somewhat a new restaurant chain founded in 2007. However, they experienced rapid growth, opening up about 20 stores each year since they were founded.

They now have over 220 stores in the US and in Canada. Their rapid growth in numbers came from their approach to burger making and the use of fresh ingredients at all times.

The fast food franchise market offers several opportunities for entrepreneurs, such as franchises from Chick-fil-A Franchise, Culver’s Franchise, Popeyes Franchise, Taco Bell Franchise, and Burger King Franchise.


In-N-Out Burger Comparison

CompanyFranchise FeeRoyalty FeeInitial Investment
McDonald’s$45,0004%$1.3 million-$2.3 million
Wendy’s$50,0004-6%$329,500-$3.6 million
In-N-Out BurgerN/AN/AN/A

Conclusion

Gaining popularity as a fast-food chain restaurant in the United States is a tough job among many big players.

In-N-Out managed to do this easily in the Western United States and gained popularity quickly. They now have over 300 outlets across several states, and they keep on expanding.

It is obviously an amazing business to own, but unfortunately, they do not franchise. This means that you can’t have a franchise branch of In-N-Out Burger if you wish to.

However, there are many other alternatives out there that you can consider grabbing a piece of the big fast-food industry, such as Five Guys or Wendy’s.


Frequently Asked Questions 

Who is the CEO of In-N-Out Burger?

The current CEO of In-N-Out Burger is Doug Caviglia. Lynsi Snyder, the 3rd generation of the Snyder family who funded the restaurant, is the sitting president at the moment.

Is In-N-Out Burger thinking of franchising in the future?

As far as the announcements made by the company go, there are no plans. In-N-Out Burger is not planning on franchising at all.

How much should I expect to spend to start an In-N-Out Burger franchise?

Since In-N-Out Burger is not a franchise, there are no costs of opening their franchise.

Sources

https://www.in-n-out.com/history

https://en.wikipedia.org/wiki/In-N-Out_Burger

https://www.wendys.com/franchise-faqs

https://www.fiveguys.com/the-five-guys-story

https://en.wikipedia.org/wiki/Five_Guys

https://en.wikipedia.org/wiki/Smashburger

10 thoughts on “In N Out Franchise Cost, Fees & Profit 2024”

  1. I’m a lover of In-N-Out burgers and would like to know how to have a branch open in South Charlotte, NC. It would do an excellent competition for other franchise that does unhealthy burgers

    Reply
    • Hi, In N Out does not offer franchising. You can however reach out to the company to find out if they are planning to franchise in the near future.

      Reply

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