What are the Startup Costs for SONIC?
Franchisees can invest in a strong, growing brand
What does it take to become a SONIC® franchisee? We are looking for passionate business owners, preferably those who have multi-unit franchise or business experience, as well as strong liquidity and net worth. We work closely with franchisees throughout the startup process to ensure their lifelong success with the brand.
The franchise fee for a single unit is $45,000, with a total estimated SONIC franchise cost ranging from $865,000 to $3.64 million (excluding land). The net worth of a partner can be used toward the total net worth/liquidity requirements. The term of a traditional SONIC franchise is 20 years, plus a 10-year renewal.
It typically takes six to eight months to get a SONIC site secured. Once the site selection is complete and construction and build-out of your SONIC restaurant begins, it takes an average of 12 months to open your SONIC location, depending on the area.
SONIC’s corporate office has a full support team and services available to franchisees, such as helpful demographic data and in-depth site analytics, to make the entire site selection and construction process as smooth and profitable as possible for franchisees.
Please refer to the chart below to review the financial requirements needed for owning a SONIC franchise.
|1 - 2 Units||$500,000.00||$1 Million|
|3 - 4 Units||$1.5 Million||$2 Million|
|5+ Units||$2 Million||$2 Million+|
|**$500k per store, 5+ 2 million. Partnerships may be used to qualify.|
|Type of Expenditure||Estimated Low (USD)||Estimated High (USD)||Method of Payment||When Due||To Whom Payment is to be Made|
|Franchise Fee||$45,000||$45,000||Lump Sum||At Signing of License Agreement||Sonic|
|Payroll||$56,000||$137,500||As Incurred||During Training and Pre-Opening||Your Employees|
|Training, travel and Living
Expenses while Training
|$5,000||$33,500||As Incurred||During Training||Hotels, Restaurants and Airlines|
|A-Team Trainers||$44,000||$92,000||As Incurred||During Pre-Opening and Post-Opening||Suppliers|
|Advertising Funds||$2,000||$5,000||As Incurred||Pre-Opening Period||Suppliers|
|Beginning Inventory||$30,000||$140,000||Lump Sum||Prior to Opening||Suppliers|
|Security Deposits, impact fees for
utilities, utility deposits, business
license and other prepaid
|$42,000||$179,000||Lump Sum||Prior to Opening||Suppliers|
|Insurance Premiums||$10,000||$20,000||Lump Sum||Prior to Opening||Suppliers|
|$5,000||$10,000||As Incurred||Prior to Opening and Monthly||Suppliers|
|Miscellaneous Pre-Opening Costs||$5,000||$58,300||As Incurred||Pre-opening||Suppliers|
|Land||Variable||Variable||See Note 10||See Note 10||See Note 10|
|Building and Site Work||$480,000||$2,396,000||See Note 10||See Note 10||See Note 10|
|Restaurant Equipment||$5,000||$350,000||See Note 11||See Note 11||See Note 11|
|Point of Sale System (POS) and Digital Menu Housings (POPS)||$124,000||$140,000||See Note 12||See Note 12||Suppliers|
|Sonic Sign||$12,000||$35,000||See Note 13||See Note 13||Suppliers|
|TOTAL ESTIMATED INITIAL INVESTMENT
(plus land costs) 11
|Optional - Indoor Seating||$125,000||$275,000||See Note 15||See Note 15||Suppliers|
See the full Franchise Disclosure Document for all footnotes. To request a copy of our FDD, please request franchise information by completing the form on this page.
Franchisee experience needed
- Restaurant background required by at least one operating partner and multi-unit experience preferred
- Ability to develop, lead and inspire a management team
- Strong entrepreneurial skills
- Active in community
- Retail sales
If you are curious about learning more about the SONIC franchise costs, your specific investment and to understand if you qualify, start up a conversation with us by filling out the request information form on this page or calling us at 866-714-0907.