Culver’s can promise to be an attractive investment as an owner franchise, but it comes with all the costs involved. Here’s everything to know about the costs and possible revenue from owning a Culver’s in 2025.
How many Culver’s locations are there?
As of now, there are 987 Culver’s outlets across America. Most locations are franchise-dependent, while a few are company-owned. The brand is rapidly on the rise, with 51 new locations proposed for this year, inching closer to the target of hitting 1,000 restaurants. Culver’s is mostly concentrated in the Midwest and the South, with Wisconsin weighing in as the state with the most restaurant locations.
Total investment required to open a Culver’s franchise
For the year 2025, it can be over $2,812,000 and under the mark of $6,867,000 to invest in opening a Culver’s franchise. It covers different initial costs, such as real estate, construction, equipment, signage, and inventory.
The huge initial cost is a result of the brand maintenance standards Culver’s imposes on all its franchises in terms of quality control and customer experience.
Ongoing fees for a Culver’s franchise
After the initial investment, franchisees must pay ongoing fees to support corporate operations and marketing efforts. These include:
- Royalty Fee: 4% of gross sales
- Marketing Fee: 6.5% of gross sales
These fees contribute to national and local advertising campaigns and ensure that franchisees receive continued support from the corporate team.
Read now: What does Chapter 35 cover for dependents and how much is the monthly payment in California?
Financial Requirements to Become a Culver’s Franchisee
To qualify as a Culver’s franchisee, you must meet specific financial requirements:
- Minimum Net Worth: $2 million
- Liquid Assets Required: $500,000
These financial criteria are set to ensure that potential franchisees have the necessary resources to successfully launch and sustain a Culver’s restaurant.
Read now
How much can a Culver’s Franchise owner earn?
It is rather lucrative to own a Culver’s franchise. The average gross sales of a Culver’s location are about $3.43 million annually. Assuming an operating profit margin of 15%, this roughly translates to $514,500 in EBITDA (earnings before interest, taxes, depreciation, and amortization) per year.
Although actual earnings depend on location, efficiency, and market conditions, for financially fit investors generally, becoming a franchisee with Culver’s remains a good investment.
Who owns Culver’s?
Culver’s was founded in 1984 by Craig Culver, his wife Lea Culver, and Craig’s parents, George and Ruth Culver. It remains a family-focused brand, although in 2017, the Culver family sold a minority stake to Roark Capital Group, a private equity firm specializing in restaurant brands.
Despite this investment, the Culver family continues to play a significant role in the company’s leadership and direction.
Final thoughts
Opening a Culver’s franchise requires a substantial financial commitment, but the brand’s strong reputation and steady growth make it an attractive investment. With nearly 1,000 locations and an expanding presence in the U.S., franchisees can benefit from an established customer base and corporate support.
If you’re considering investing in a Culver’s, ensure you meet the financial requirements and conduct thorough research to determine if this opportunity aligns with your business goals.
Disclaimer
This content is for informational and educational purposes only. We do not make any representations or warranties regarding the accuracy, applicability, or completeness of the information provided. This article does not constitute financial, legal, or investment advice. You should consult with a professional before making any financial or investment decisions related to franchise ownership.
Read now: What does Chapter 35 cover for dependents and how much is the monthly payment in California?
