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Description
Investment Icon

What Are the Initial Investment Requirements for a Bubbakoo's Burritos Franchise?

To open a Bubbakoo's Burritos franchise, you'll need to consider a total initial investment ranging from $356,000 to $757,000. This includes a franchise fee of $35,000. Additionally, you should have liquid cash available between $321,000 and $777,000, and a net worth requirement of $350,000 to $1,000,000. Understanding these financial commitments is crucial for aspiring franchisees.

Fees Icon

What Are the Ongoing Fees Associated with a Bubbakoo's Burritos Franchise?

Bubbakoo's Burritos franchisees are required to pay ongoing fees that include a royalty fee of 6% of gross sales and a marketing fee of 2%. These fees are essential for maintaining brand standards and supporting marketing initiatives that benefit the entire franchise network. It's important to factor these costs into your financial planning to ensure sustainable profitability.

Revenue Icon

What Is the Average Revenue Potential for a Bubbakoo's Burritos Franchise?

The average annual revenue for a Bubbakoo's Burritos unit is approximately $923,323, with a median revenue of $880,070. The revenue range can vary significantly, with the lowest reported annual revenue at $461,287 and the highest reaching $2,067,692. This potential for high revenue makes Bubbakoo's an attractive option for franchisees looking to enter the food service industry.

Breakeven Icon

How Quickly Can You Expect to Break Even with a Bubbakoo's Burritos Franchise?

Franchisees can anticipate a breakeven period of around 12 months, with an investment payback period of just 10 months. This relatively quick return on investment is a compelling factor for those considering a Bubbakoo's Burritos franchise, as it indicates efficient operations and strong market demand for their offerings.

Bubbakoo's Burritos Franchise Financial Requirements

Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.

Net Worth Required icon The minimum total assets (minus liabilities) you must possess.

i Net Worth Required:

$350,000 - $1,000,000
Investment Payback icon The estimated period to recoup your total investment.

i Investment Payback:

10 Months
Franchise Fee icon The initial fee paid to join the franchise system.

i Franchise Fee:

$35,000
Royalty Fee icon Ongoing percentage of revenue paid to the franchisor.

i Royalty Fee:

6%
Marketing Fee icon Regular contribution toward the franchise’s advertising fund.

i Marketing Fee:

2%
Breakeven Time icon The estimated timeframe to recover your initial costs.

i Breakeven Time:

12 Months
Initial Investment icon The total amount required to launch the franchise.

i Initial Investment:

$356,000 - $757,000
Cash Required icon The minimum liquid capital you must have on hand.

i Cash Required:

$321,000 - $777,000
Average Revenue icon The typical yearly revenue generated per franchise location.

i Average Revenue:

$923,323
Median Revenue icon The middle value of yearly revenue among franchise locations.

i Median Revenue:

$880,070
Highest Revenue icon The largest reported annual revenue among franchisees.

i Highest Revenue:

$2,067,692
Lowest Revenue icon The smallest reported annual revenue among franchisees.

i Lowest Revenue:

$461,287
Industry icon A broad sector defining similar types of franchise businesses.

i Industry:

Restaurant Franchises
Category icon A more specific division within the broader industry.

i Category:

Quick-Service Restaurants
Leadership icon The key individuals guiding the franchise’s strategy and growth.

i Leadership:

Paul Altero
Corporate Address icon The official business address of the franchisor’s headquarters.

i Corporate Address:

1670 Rte. 34 North, #1C, Wall Township, New Jersey 07727
Funding Year icon Available financing options to help start the franchise.

i Funding Year:

2014
Parent Company icon The main organization that owns the franchise brand.

i Parent Company:

Bubbakoo's Burritos

Bubbakoo's Burritos Franchise Unit Growth Summary

A breakdown of corporate, franchised, and total units, with yearly net changes.

The overall number of operating franchise locations.

Total Units i

116
The number of locations owned by independent franchisees.

Franchised Units i

103
The number of locations owned and run by the franchisor.

Corporate Units i

13
Units 2021 2022 2023
Total Units 45 64 99
Net Change YoY 19 35
Franchised Units 33 52 86
Net Change YoY 19 34
Corporate Units 12 12 13
Net Change YoY 0 1
Investment About

Franchise Overview

Bubbakoo's Burritos is a fast-casual restaurant chain specializing in customizable burritos, tacos, and bowls. Founded in 2008, Bubbakoo's has rapidly expanded its presence across the United States, attracting customers with its fresh ingredients and vibrant atmosphere. The brand focuses on delivering a unique dining experience that allows guests to create their perfect meal, reflecting the diverse tastes of its clientele.

Potential About

Investment Requirements

The initial investment to open a Bubbakoo's Burritos franchise ranges from $356,000 to $757,000. This includes a franchise fee of $35,000. Potential franchisees should be prepared to have a cash requirement between $321,000 and $777,000, and a net worth of $350,000 to $1,000,000 to qualify for ownership.

Metrics About

Financial Performance

Bubbakoo's Burritos franchises have demonstrated strong financial performance, with an average annual revenue per unit of $923,323. The median annual revenue stands at $880,070, showcasing the brand's ability to generate substantial income for its franchisees. Revenue can vary significantly, with the lowest annual revenue recorded at $461,287 and the highest reaching $2,067,692.

Fees About

Operating Costs

The average cost of goods sold (COGS) for Bubbakoo's Burritos is approximately $254,531, accounting for 27.59% of total revenue. Operating expenses average around $266,929, making up 28.90% of revenue. This indicates a healthy gross profit margin of 72.41%, providing franchisees with a solid foundation for profitability.

Breakeven About

Growth Trajectory

Bubbakoo's Burritos has experienced impressive growth, increasing its number of franchised units from 33 in 2021 to 86 in 2023. This upward trend reflects the brand's expanding market presence and popularity among consumers, positioning it as a promising opportunity for aspiring franchisees looking to enter the fast-casual dining sector.

Units About

Support and Training

Bubbakoo's Burritos offers comprehensive support and training for franchisees, ensuring they are well-equipped to succeed. This includes assistance with site selection, operational training, marketing strategies, and ongoing operational support. The franchise's commitment to its franchisees fosters a collaborative environment, enhancing the overall success of its locations.

Frequently Asked Questions

The initial investment for a Bubbakoo's Burritos franchise ranges from $356,000 to $757,000. This includes the franchise fee, equipment, and other startup expenses.