Highlights
- Every week, 5.0% of gross sales goes to the franchisor before rent, food or labor: royalty 5% of all Gross Receipts.p.13
- Opening one unit is estimated at $854,834, including a $35,000 initial fee.p.19
- Freddy's discloses unit performance in Item 19.p.46
- The system went from 456 outlets at the start of 2023 to 580 at the end of 2025, a net gain of 124.p.58
- In 2025, closures of all kinds equalled 3.7% of the outlets open at the start of the year.
- Item 3 discloses 0 matters.
Tools, from this filing's numbers
What Freddy's takes off the top
Royalty 5% of all Gross Receipts, applied to your own sales estimate. The rates are the filing's; the sales are yours.
Freddy's discloses no unit revenue, so start from a number you believe.
Where the units went in 2025
Every outlet that opened, and every one that left, drawn from Item 20 Table 3 to scale.p.63
Total outlets, 2022 to 2025
Compare Freddy's with another brand
Side by side, every figure cited.
Fees (Items 5 and 6)
| Initial franchise fee, standard | $35,000 | p.11 |
| Royalty | 5% of all Gross Receipts | p.13 |
| Advertising fund | not stated | |
| Technology fee | $100 per 28-day operating period | p.13 |
The filing lists every recurring and conditional fee in Item 6. The report carries all of them.
Estimated initial investment (Item 7)
| Expenditure | Low | High | |
|---|---|---|---|
| License Fee | $35,000 | $35,000 | p.18 |
| Miscellaneous Opening Costs | $8,000 | $15,000 | p.19 |
| Opening Inventory and Supplies | $10,000 | $25,000 | p.19 |
| Grand Opening Advertising | $2,500 | $8,000 | p.19 |
| Additional Funds – 3 months | $20,000 | $60,000 | p.19 |
| Total | $854,834 | held | p.19 |
Revenue (Item 19)
Freddy's reports Average Annual Gross Receipts.p.46 What the figure measures, which units were excluded and what it leaves out are in the report.
Units (Item 20)
| Type | Year | Start | End | Net | |
|---|---|---|---|---|---|
| franchised | 2023 | 427 | 484 | 57 | p.58 |
| company owned | 2023 | 29 | 33 | 4 | p.58 |
| total | 2023 | 456 | 517 | 61 | p.58 |
| franchised | 2024 | 484 | 514 | 30 | p.58 |
| company owned | 2024 | 33 | 36 | 3 | p.58 |
| total | 2024 | 517 | 550 | 33 | p.58 |
| franchised | 2025 | 514 | 542 | 28 | p.58 |
| company owned | 2025 | 36 | 38 | 2 | p.58 |
| total | 2025 | 550 | 580 | 30 | p.58 |
Openings and closures, system totals (Table 3)
| Year | Start | Opened | Terminated | Non-renewed | Reacquired | Ceased, other | End | |
|---|---|---|---|---|---|---|---|---|
| 2023 | 427 | 61 | 0 | 0 | 3 | 1 | 484 | p.63 |
| 2024 | 484 | 37 | 7 | 0 | 0 | 0 | 514 | p.63 |
| 2025 | 514 | 47 | 19 | 0 | 0 | 0 | 542 | p.63 |
Arithmetic checks flagged: item7: low lines sum to 75500, total says 854834. The figures shown are as filed.
Litigation (Item 3)
The filing states no litigation is required to be disclosed.p.11
Scorecard
Rank among the brands on this site that report the figure, on each list's own direction. No blended grade. How the lists work.
| Cost to open | $854,834 | 54 of 74 |
| Royalty plus ad fund | 5.0% | 4 of 59 |
| Three-year unit growth | 27.2% | 11 of 75 |
| Closure rate, 2025 | 3.7% | 27 of 71, 1 = most |
| Discloses unit revenue | yes | |
| Litigation disclosed | 0 | 41 of 68, 1 = most |
Source
Wisconsin Department of Financial Institutions franchise filing 641465, effective 4/30/2026, expires 4/30/2027. Extracted 2026-09-04 by two independent readers; only figures both agreed on, whose quoted words appear on the cited page, are shown. 16 fields held for review. How this works.