The Habit Burger Grill

Burgers, sandwiches, salads, sides
FREE Franchise Guide!
2024 Franchise 500 Rank
#117 Ranked #173 last year
See the Full List
Initial investment
$1.5M - $1.8M
Units as of 2023
378 Increase 34.5% over 3 years

The Habit Burger Grill Franchise

Is there anything better than smelling a delicious burger sizzling on the grill? Add the aroma of perfectly seasoned chicken, steak and tuna, and you have the unbeatable combination The Habit Burger Grill offers.

With a menu chock-full of delicious hamburgers, chicken and tuna sandwiches and numerous side dishes, it is no wonder you are considering opening a franchise with them. 

Read on for everything you need to know about becoming an entrepreneur and opening your franchise with The Habit Burger Grill.

When did The Habit Burger Grill open?

Started in 1969 in Goleta, California and known for its fast casual dining experience, The Habit Burger Grill expanded in 1996 to include a second location in Santa Barbara, California. 

Fast forward to 2020, when the company was purchased by its parent company Yum! Brands, who also own Taco Bell, Pizza Hut and KFC. By 2021 they opened their 300th location, including locations in Cambodia and China

In 2022 The Habit Burger Grill won the prestigious Franchise Times Zor Award as “Top Franchise to Buy” for the quick-service burger category. They were named one of America’s favorite restaurant chains by Newsweek.

Related:  4 Keys to Opening a Successful Restaurant | Entrepreneur

What kind of food does The Habit Burger Grill serve?

Known for their high-quality ingredients, using the freshest produce available and providing a world-class customer experience, The Habit Burger Grill chargrills their entrees to perfection. 

Their mouthwatering, award-winning Charburger is made with 100% ground beef and grilled over an open flame. Their line-caught sushi-grade ahi tuna, fresh chicken and marinated steak entrees only add to the mass appeal of this establishment, as there is something for even the most discerning connoisseur.

All the entrees are professionally chargrilled over an open flame, which seals in the flavor in a way you can only get from flame-grilling. But The Habit Burger Grill doesn’t just stop at entrees.

They have numerous delicious side options to choose from as well, including:

  • Crispy chicken bites.
  • French fries.
  • Onion rings.
  • Sweet potato fries.
  • Tempura green beans.
  • Caesar and side salads.

Related:  Factors About Changing Trends in the Restaurant Market Especially the Menus | Entrepreneur

Who is the ideal franchise candidate for The Habit Burger Grill?

If you are interested in opening a franchise with The Habit Burger Grill, there are specific requirements franchise owners need to meet. Read on to see if you qualify for this exciting franchise opportunity.

Local

The ideal franchise owner should live and work in the market they want to develop.

Restaurant Experience

The Habit Burger Grill looks for franchisees with extensive casual restaurant operations experience. The ideal candidate will have experience owning and operating multiple restaurant locations in the fast-casual or full-service industry.

Financial Capabilities

The potential franchisee must meet the minimum initial investment requirements to open multiple restaurants in their desired territory. This requires a net worth of $3 million and a cash requirement of $1 million.

Resources

The candidate should have the necessary tools and funds to develop the restaurant from real estate purchase to building construction to operations. This includes a working knowledge of your territory's real estate and construction laws. The franchisee will have a prototype of the exterior and interior restaurant design, construction practices and recommended vendors.

Commitment

A successful franchise owner needs to be devoted to the business and involved in the operation of the franchise on a full-time basis.

Related:  Am I a Good Franchise Candidate? | Entrepreneur

What are the steps to ownership for The Habit Burger Grill?

To take part in this franchise opportunity, there are specific steps you need to follow to be approved to open your own The Habit Burger Grill franchise. Typically, this approval process takes between three and six months to complete.

Inquiry

First, you must fill out the Franchise Inquiry Form to learn more about becoming a multi-unit franchisee of The Habit Burger Grill.

Initial discovery call

Once you have filled out the Inquiry Form and it has been received, you will be contacted by a franchise development team member to learn more about your restaurant and business experience. More information regarding The Habit Burger Grill will be provided, and the next steps will be explained.

Complete application

After the initial discovery call, if both parties are interested in proceeding, you will receive a franchise application to fill out and an FDD (Franchise Disclosure Document) for you to review. Once submitted, the process will continue to move ahead.

Application review meeting

The head of the franchise team will then make an appointment with you to review your application. Be prepared that a business plan, organizational chart and background check may be requested.

Conversation with the CEO and CFO

After you meet with the head of the franchise team, the next step is to ask the CEO and CFO any questions you might have about the company and moving forward.

Discovery day

Here you will go to The Habit Restaurant Support Center to meet with the executive team and learn about their roles with the company and how they will support you as a franchisee. 

During the day, you will visit several restaurant locations and discuss ownership and the franchise's operation.

Finalize details

To finalize the partnership details, a discussion will occur to ensure both parties are on the same page regarding the partnership, the LOI (Letter of Intent) and the development agreement. Both parties will also go over the Franchise Disclosure Document.

Agreement finalized

At this stage, the agreement is executed, and you are officially a The Habit Burger Grill franchise owner.

Related:  Follow These Essential Steps Before Purchasing a Franchise | Entrepreneur

What costs are involved in opening a franchise?

Opening your own The Habit Burger Grill franchise involves a few different costs. Read on to learn all the investment information you need to know about opening your franchise location.

  • Initial Franchise Fee: $35,000.
  • Royalty Fee: 5.5% of gross sales.
  • Marketing Contribution Fee: up to 4.5% of gross sales.
  • Development Fee Per Restaurant: $10,000.
  • Total Investment (before TIA): $1.4 to 1.8 million.

Related:  Startup Costs to Consider When Buying a Franchise | Entrepreneur

What building options are available?

Once everything has been approved and you are ready to break ground on your new business venture, you have to choose the location and type of building that best suits your needs. 

Four options are available when you open a franchise with The Habit Burger Grill.

Freestanding with drive-thru

This option is a freestanding building consisting of approximately 2,500 to 3,000 square feet and equipped with a drive-thru.

Endcap

The Endcap option is typically at the end of a strip mall building, and the square footage is flexible.

Endcap with drive-thru

Similar to the standard Endcap building, this option comes with 2,400 to 2,800 square feet and added drive-thru option.

Non-traditional

This option is the smallest building plan offered and is 1,200 square feet or less.

Are there multiple revenue streams included?

With over 50 years of restaurant experience, The Habit Burger Grill has incorporated numerous revenue streams into its business plan to help franchise owners succeed. 

To increase sales and provide the most convenient customer services experience possible, when you open a The Habit Burger Grill franchise, you will have the following revenue streams at your fingertips:

  • In-store, take-out and drive-thru options.
  • Online ordering through the mobile app.
  • Online ordering through The Habit Burger Grill website.
  • Ordering over the phone by calling the restaurant directly.
  • Placing an order through a third-party delivery app.
  • Utilizing one of the in-store kiosks.
  • Placing an order and selecting the curbside pick-up option.

Related:  How to Create Multiple Revenue Streams For Your Business | Entrepreneur

Does The Habit Burger Grill provide training?

When you open a franchise with The Habit Burger Grill, you will receive 500 hours of training, which includes everything you need to know regarding the back of the house, front of the house and the learning management system. You will also receive marketing support to help with the following:

  • Ad templates.
  • Social media.
  • Website development.
  • Loyalty program/app.
  • Regional advertising.
  • SEO (search engine optimization).
  • Email marketing.

Related:  Will My Franchise Provide Adequate Training?

Open a franchise with The Habitat Burger Grill today

If you are looking at branching out into the restaurant industry and are looking for a well-known, chef-driven brand with a creative and innovative menu, then opening a franchise with The Habit Burger Grill might just be for you. 

With multiple revenue streams, an expansive menu, numerous building options and a well-known reputation for top-notch customer service, you could soon run a successful franchise with The Habit Burger Grill.

Check out Entrepreneur’s other articles for more information about The Habitat Burger Grill and other franchise opportunities.

Find Your Perfect Franchise

Company Overview

About The Habit Burger Grill

Industry Food
Related Categories Hamburgers
Founded 1969
Parent Company Yum! Brands
Leadership Shannon Hennessy , CEO
Corporate Address 1 Glen Bell Wy.
Irvine, CA 92618
Social Facebook, Twitter, LinkedIn, Instagram, YouTube

Business Overview

Franchising Since 2013 (11 years)
# of employees at HQ 216
Where seeking

This company is offering new franchises throughout the US.

This company is offering new franchises worldwide.

# of Units 378 (as of 2023)

Information for Franchisees

Here's what you need to know if you're interested in opening a The Habit Burger Grill franchise.

Financial Requirements & Ongoing Fees

Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Initial Franchise Fee Information Circle
$35,000
Initial Investment Information Circle
$1,466,000 - $1,849,000
Net Worth Requirement Information Circle
$4,000,000
Cash Requirement Information Circle
$1,000,000
Royalty Fee Information Circle
5.5%
Ad Royalty Fee Information Circle
1%
Term of Agreement Information Circle
10 years
Is franchise term renewable? Yes
Take Our Free Franchise Quiz!

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

On-The-Job Training 500 hours
Ongoing Support
Meetings & Conventions
Grand Opening
Online Support
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
Marketing Support
Ad Templates
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed? No
Can this franchise be run from home/mobile unit? Information Circle
No
Can this franchise be run part time? Information Circle
No
Are exclusive territories available? Information Circle
Yes
Take our quick quiz to find your ideal franchise

Franchise 500 Ranking History

Compare where The Habit Burger Grill landed on this year's Franchise 500 Ranking versus previous years.

Additional Rankings

Curious to know where The Habit Burger Grill ranked on other franchise lists? Find out below.

Sign Up for Our Franchise Newsletter

Stay up to date on the latest news and trends affecting the franchise industry.

Related Franchises

Are you eager to see what else is out there? Browse franchises that are similar to The Habit Burger Grill.

Medi-Weightloss

description
Medical weight-loss and wellness programs

Eggs Up Grill

description
Breakfast, brunch, and lunch restaurants

McAlister's Deli

description
Sandwiches, salads, baked potatoes

Related Franchise Content

Catch up on the latest franchise news, trends, and more.

Franchise

McDonald's Is Extending Its $5 Meal Deal in Most of the U.S. — Get the Details Here

The $5 deal, created in response to a demand for value from inflation-strapped consumers, was initially planned for a four-week run.

Franchise

McDonald's is About to Bring Back a Beloved Menu Item — Here's What You Need to Know

A new test run indicates that the popular Snack Wraps — off the U.S. menu since 2016 — may return soon.

Franchise

Join the #1 Breakfast Franchise with Eggs Up Grill!

Eggs Up Grill has a talented executive team focused on driving the strategic growth of the brand. They provide franchisees access to open territories, the ability to diversify a portfolio, and is a brand with demonstrable growth.

Franchise

In a 'Landmark Victory' for Franchises, NLRB Drops Expanded Joint Employer Appeal — Here's What it Means for Businesses

The attempt to implement the expanded Joint Employer Rule is "finally finished" in a win for the IFA-led coalition and for franchises across the U.S.

Franchise

4 Things I Wish I Knew Before Starting My Franchise Journey

Discover key insights about franchise ownership by understanding these four learned lessons from a seasoned franchise owner and consultant.

Franchise

Four Takeaways for the Franchise Industry From My Time at the Republican National Convention

Matt Haller, President and CEO of the IFA, says the stakes are high for franchisors and franchisees in the upcoming presidential election.

See more franchise content
Disclaimer
The information on this page is not intended as an endorsement or recommendation of any particular franchise or business opportunity by Entrepreneur Media. Our listings and rankings are solely research tools you can use to compare opportunities. Entrepreneur stresses that you should always conduct your own independent investigation before investing in a franchise or business opportunity. That should include reviewing the company's legal documents, consulting with an attorney and an accountant, and talking to former and current franchisees/licensees/dealers.
Updated: December 12th, 2022