How To's
How Much Does A Buffalo Wild Wings Franchise Cost?
If you’ve always wanted to open your own diner where friends can meet up, watch sports and enjoy comfort food with beer, Buffalo Wild Wings is probably one of the options on your list. But how much exactly does a Buffalo Wild Wings franchise cost? And what does it take to open your franchise? We’ll discuss those and more in this quick guide.
Franchise Description
Before we dive right into the Buffalo Wild Wings franchise cost, let’s tackle a few key info about the franchise itself. The business started in 1982 when Jim Disbrow and Scott Lowery moved from Buffalo, New York to Ohio. Craving for Buffalo wings, they decided to open their own joint on High Street in Columbus.
Presently, Buffalo Wild Wings International, Inc. is the business’s franchisor, a subsidiary of Inspire Brands, Inc. At the present time, they have 1,275 locations worldwide, including those in India, Oman, Panama, Philippines, United Arab Emirates, and Vietnam.
Training Overview
Aside from the Buffalo Wild Wings franchise cost, a franchisee must also invest time and effort during training. Before opening the bar (not more than 120 days, but not less than 60 days prior), the head office will provide a course to train the location’s team. Not less than four people from the new location will be taught in the initial in-restaurant training and familiarization course. In short, all attendees should complete the course according to standards set by the head office.
The first seven weeks of on-the-job training are held at a certified location where the franchisor’s affiliates operate. Then, upon completing the training, the head office will arrange for a team to assist the new franchise owner for the bar opening. To note, this will be at the franchisee’s expense.
Aside from the initial training, there can also be extra training and refresher courses. This continuous training will help ensure that every franchise is keeping in step with business innovations as well.
Obligations and Restrictions
Before we get to the Buffalo Wild Wings franchise cost, let’s discuss the duties that come with a franchise. During the franchise period, the franchise owner is required to devote full time and best efforts to manage the business. The franchisee may act or assign someone else to act as the “control person.” The control person then directs the operations, oversees the daily grind, and is authorized to sign contracts. In addition to that, the control person should offer direct supervision within the bar premises.
Also, franchises must offer all the menu items required by the head office. In the same vein, they’re forbidden from offering other products or many items not provided by the franchisor. The franchise owner also can’t use the premises for any other purpose other than a sports bar.
The initial franchise term period is 20 years. The franchise owner can renew for ten more years, as long as they meet the head office’s requirements.
Your Investment
| Name of Fee | Low | High |
|---|---|---|
| Fees Related to Site Approval | $1,200 | $53,800 |
| Initial Franchise Fee | $10,000 | $25,000 |
| Opening Team Training Fee | $0 | $15,000 |
| Reimbursement of expenses for Opening Team | $0 | $15,000 |
| Architecture Fees (based upon utilization of national firm) | $90,000 | $143,000 |
| Construction and Leasehold Improvements | $1,513,000 | 1,892,000 |
| Furniture, Fixtures, Equipment and Other Fixed Assets | $561,000 | $577,000 |
| Audio Visual Equipment | $204,000 | $440,000 |
| Computer POS System/Kitchen Display Unit | $65,000 | $75,000 |
| Office Equipment and Supplies | $6,000 | $13,000 |
| Sports Memorabilia | $12,500 | $25,000 |
| Signage and Graphics (excluding pylon or monument signage) | $43,000 | $100,000 |
| Architecture Fees (based upon utilization of national firm) | $60,000 | $150,000 |
| Training Expenses | $8,000 | $12,000 |
| Initial Inventory | $12,000 | $18,000 |
| Insurance | $14,400 | $40,000 |
| Additional Funds – 3 months | $100,000 | $150,000 |
| Lease and Utility Security Deposit | $10,000 | $20,000 |
| Grand Opening Advertising | $12,500 | $12,500 |
| Liquor License | $5,000 | $500,000 |
| Professional Fees | $20,000 | $70,000 |
| ESTIMATED TOTAL* | $2,695,100 | $4,244,300 |
Other Costs
| Type of Fee | Amount |
|---|---|
| Royalty Fee | 5% of gross sales. |
| Advertising Fee | 3.25% of gross sales. |
| Audit Costs | Cost of audit. |
| Learning Management System Fee | $59.22 plus tax per sports bar per year. But may change depending on number of Buffalo Wild Wings sports bars participating. |
| Transfer Fee | $12,500 |
| Co-op or LMG Contribution | At least 0.5% of gross sales. |
| Co-op or LMG Accounting Fee | $1,200 to $6,000 per year. |
| Renewal Fee | $20,000 |
| Interest and Late Fee | 18% per annum or the maximum rate allowed by law, whichever is less, plus $150 for each delinquent report or payment. |
| Supplier Evaluation Costs | Actual costs of the inspection and evaluation. |
| Commercial Insurance Costs | $30,000-$120,000 for annual premiums, plus the franchisor’s costs and fees. |
| Indemnification | Varies under different circumstances. |
| Relocation Costs | The franchisor’s reasonable costs relating to the franchisor’s relocation. |
| Attorneys’ Fees | Varies under different circumstances. |
| Deidentification Costs | Varies under different circumstances. |
| Liquidated Damages (under Area Development Agreement) | Balance of the initial franchise fee plus $50,000 for each undeveloped Buffalo Wild Wings sports bar. |
| Menu Database Support | $420 to $600 annually (per restaurant). |
| General POS Support Services | Estimated to be $1,050 to $1,650 or more annually (per sports bar). |
Did You Know?
- Many patrons love the sports background to go with their wings and beer. However, TV screens in the stores didn’t originally show games; in fact, they were placed there for music videos! One day, a customer asked the staff to turn it to the Ohio State game, and the rest was history.
- One of the reasons why franchises choose this brand is because of its growth over the years. In fact, the business has been hailed as one of the top Sports Bar Brands in the U.S. by Technomic Top 500.
- Despite the attention it’s been getting, Buffalo Wild Wings is far from getting complacent. They strive to offer the best-in-class franchise and aim to be the premier franchisor. How? By focusing on restaurant development, operations training, branding, and supply chain expertise.
- The company also puts a premium on giving back to the community. To do that, they established Buffalo Wild Wings Foundation that aims to help build communities where children can “thrive, compete and belong to a team.” Since 2013, they’ve raised and donated over $22 million to provide more children access to youth sports. They’ve also partnered with the Boys & Girls Clubs of America to give more than 1 million children a chance to participate in organized sports.
- To support its charity efforts, the company has launched Eat Wings, Raise Funds program. The initiative has donated to local groups that help youth and families in need, as well as military families and disaster relief efforts.
Now that you know the Buffalo Wild Wings franchise cost and the duties that come with it, you can make an informed decision about pushing through. But one thing’s for sure – pairing hard work with a tried and tested system is a formula for success.