Wahlburgers Franchise Cost, Profit & Failure Rate 2024

Looking to dive into the thriving world of burger franchising with a brand that resonates with quality and uniqueness? This article explains all about the opportunity to own a Wahlburgers franchise.

Learn about the investment, the support, and the rewards of being part of the Wahlburgers family.

Here, you’ll find the details you need to make an informed decision and embark on an exciting journey in the food industry.

Wahlburger Franchise

About Wahlburger

Wahlburger is a top-notch burger restaurant and bar owned by Wahlburgers Franchising LLC. It’s a place filled with fun, music, and good times where guests can feel like family. Here, you can enjoy tasty food like burgers, housemade sauces, and more, all prepared by Chef Paul. Signature items include Mom’s Sloppy Joe, thin onion rings, and creamy shakes.

The story of the Wahlberg brothers, who grew from neighborhood kids to chefs and world stars, is told on the walls of the restaurant. Yet the food at Wahlburger always comes first.


Wahlburgers History

Wahlburgers History

In 2011, Paul, Donnie, and Mark Wahlberg partnered with an equity group and got a license to use “Wahlburger” for their restaurant. They also have another restaurant called Alma Nove, named for having nine children in the family.

The first Wahlburgers started near another of Paul Wahlberg’s restaurants, in Hingham, Massachusetts. In April 2018, they made a deal to sell their burgers in over 1,300 stores, including Shaw’s. The CEO at the time, Rick Vanzura, left in June 2018, and John Fuller, former CEO of Johnny Rockets, took over.


How much does Wahlburgers Franchise cost?

Investment in a Wahlburgers franchise ranges from $1,575,000 to $2,790,000, with a franchise fee of $40,000 and a royalty fee of 6%.

The restaurants usually need an area of around 1,800 to 2,200 square feet, and there are 1,300 outlets in total.


Wahlburgers Company Revenue & Profit

DetailAmountYear
Total Revenues$4,058,8862020
Operating Expenses$5,630,2442020
Net Loss (No Profit)$(1,865,591)2020

For the year ended January 3, 2021, Wahlburgers Franchising LLC reported total revenues of $4,058,886. The operating expenses were higher than the revenue, amounting to $5,630,244.

As a result, the company faced a net loss of $(1,865,591) for the year. Therefore, there was no profit, only a loss.


Wahlburgers Failure Rate

Franchised Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
20192225+3
20202545+20
20214574+29

For the Franchised outlets:

  • In 2019, the growth rate was (3)/22×100≈13.63%
  • In 2020, the growth rate was (20)/25×100≈80%
  • In 2021, the growth rate was (29)/45×100≈64.44%

According to the above-mentioned data, there is no failure rate for franchised outlets as the outlets at the end of the year increased during the span of 3 years.

We can see that the franchised outlets for Wahlburger grew from 2019 to 2021, showing a growth rate between 13.63% and 64.44%. 


Payback Period Of Wahlburger Franchise

With an investment of $2,790,000 and an estimated 10% profit on the average revenue, the yearly profit would be $405,888.6.

So, to find out how long it will take to earn back the initial investment:

Payback Period = Investment / Yearly Profit = $2,790,000 / $405,888.6= 6.87 years

Based on these figures, it will take approximately 7 years to pay back the initial investment for Wahlburger. This time period could be longer or shorter depending on your sales, revenue, and profit figures.


Wahlburgers Litigation

The Wahlberg brothers and others were accused by a Wahlburger franchisee of breaking a contract and exaggerating business opportunities. The plaintiffs wanted damages and specific information. They settled the issue on June 7, 2019, by buying William Leonard’s shares.


Wahlburgers Franchise Training & Support

Wahlburgers runs a training center named after the Wahlberg family in Boston. The program includes brand knowledge, support in many areas, risk assessment, project growth, advertising, and more. The training takes place at the Waterford Lakes Town Center restaurant.


Wahlburgers Franchise Business Opportunity

Harmon Dobson, the original founder of Whalburger, thought that treating his workers well would make his company successful. His small burger business grew to 700 stores in ten states, making $1 billion a year. Note that Whataburger is different from “What-A-Burger,” a chain found in the mid-Atlantic region.

Opportunities abound for entrepreneurs in bar franchising include brands like Hooters and Chili’s franchise.

If opening a restaurant franchise appeals to you, consider Auntie Anne’s, El Pollo Loco Franchise, Buffalo Wild Wings, Mission BBQ, or Golden Krust as viable options.


Wahlburger Comparison

CompanyWahlburgerFive Guys Burger
Founded In20111986
Initial Investment$1,575,000 to $2,790,000$306k to $641k 
Franchise-Fee$40,000$25,000
Total Outlet13001,550
Annual Revenue$105 Million$1.711 Billion

Frequently Asked Question

Does Wahlburger offer franchising?

Yes, Wahlburger offers remunerative franchise opportunities to entrepreneurs.

Who founded Wahlburger?

The Wahlburger chain was founded in 2011 by actors Mark and Donnie Wahlberg and their chef brother Paul Wahlberg. The brother are also the owner of the chain.

How many locations does Wahlburger has?

There are more than 90 locations in Wahlburger in the United States, Canada, New Zealand and Australia.

Where is Wahlburger headquartered?

The headquarters of Wahlburger is located in Hingham, Massachusetts.

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