| Metric | Culver's | Five Guys |
|---|---|---|
| Investment (Low) Minimum estimated initial investment from the FDD, including franchise fee and build-out. Lower is better. | $2.6M | $978K |
| Investment (High) Maximum estimated initial investment. Lower is better for the buyer. | $8.6M | $1.4M |
| Franchise Fee One-time upfront fee paid to the franchisor. Lower is better. | $55K | $25K |
| Royalty Ongoing percentage of gross revenue paid to the franchisor, typically weekly or monthly. | 4% | 6% |
| Total Units Total franchised and company-owned locations. More units generally means a more proven system. | 997 | 1,558 |
| Growth Rate Net change in total units over the last year. Negative growth may signal franchisee closures. | 5.61% | 2.43% |
| Health Score Composite score (1-100) based on growth, fees, scale, and data quality. Higher is better. | 94 | 79 |
Green = better on that metric. Based on official FDD data.
Midwest transparency vs East Coast secrecy
The single most revealing difference between these two brands is disclosure. Culver's publishes Item 19 financial performance data — you know that the average unit generates $3.79M in revenue before you sign anything. Five Guys refuses to disclose Item 19 entirely. When a franchise system with 1,700+ units won't tell prospective buyers what existing locations earn, that silence is informative. Either the numbers vary so wildly that disclosure would scare off candidates, or the average isn't flattering enough to publish.
Culver's controlled expansion philosophy (health score of 94, steady growth in concentric circles outward from Wisconsin) means they won't approve your location unless they believe it will succeed. They've said no to entire states because the supply chain wasn't ready. Five Guys expanded aggressively into international markets and secondary US locations where the $15-18 burger price point meets resistance. Controlled growth protects existing operators from cannibalization — aggressive growth prioritizes franchise fee revenue over unit economics.
The investment gap ($2.6M-$8.6M for Culver's vs $978K-$1.4M for Five Guys) reflects format differences that impact daily operations. Culver's runs a full drive-through restaurant with a complex fresh-frozen custard operation, indoor seating, and a broader menu. Five Guys is a simpler inline or endcap format with no drive-through. But Culver's higher investment buys you the drive-through revenue channel — 70%+ of QSR revenue industry-wide now comes through the window, and Five Guys doesn't have one.
Culver's franchise agreement requires owner-operators to be present in the restaurant, which limits you to 1-3 locations. Five Guys allows semi-absentee ownership with a general manager running daily operations. If you want a single flagship you're proud of, Culver's. If you want to build a multi-unit portfolio you manage from a distance, Five Guys — but you'll be doing it blind on financials.
Choose Culver's if you want a premium owner-operator business with transparent financials and drive-through revenue; choose Five Guys only if you want lower capital exposure and semi-absentee ownership, and you're comfortable buying without Item 19 data.
Not sure which to choose?
A franchise consultant can introduce you to franchisees from both brands, verify the Item 19 numbers on the ground, and help you avoid a territory that's already saturated. Their fee comes from the franchisor — your consultation costs nothing.