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- 2022 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$597K - $1.2M
- Units as of 2021
303 11.4% over 3 years
Here’s what you need to know if you’re interested in opening a Johnny Rockets franchise.
Johnny Rockets is an international burger restaurant with more than 250 units. It was founded in California in 1986 and began franchising the following year. The company was created with the idea of being an escape from the complications of the world and works to be a place full of good times and good eats.
The restaurant has a fast-casual feel with options for dine-in, take-out, and delivery. The 1950s style decor creates a fun atmosphere meant for all ages, and customers can often watch their food be prepared behind a counter. Some of the food commonly seen at Johnny Rockets includes burgers, milkshakes, fries, and hot dogs.
Why You May Want To Start a Johnny Rockets Franchise
Franchisees who enjoy fast-paced and high-energy industries might find Johnny Rockets to be a good franchise opportunity. Franchisees should be familiar with the concepts of running a business. Some of these business skills include business management, leadership, and leadership developments skills.
Other qualities the company looks for in franchisees include decision-makers, good communication, integrity, and work ethic. Franchisees should also display passion and enthusiasm and be driven to brand growth. The company likes to see examples of community leadership from its franchisees and asks for professional and financial references.
What Might Make a Johnny Rockets Franchise a Good Choice?
To be part of the Johnny Rockets franchise team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees. Franchisees will also need to meet the company’s set net worth and liquid capital requirements.
Johnny Rockets offers single-unit and multi-unit franchises. They also have both traditional and special purpose venues. The alternative venues include locations such as airports, theme parks, casinos, cruise ships, and concessions. There is even an option for stationary or mobile food trucks. All of these options create a world of possibilities for franchisees with a desire to grow their business.
How To Open a Johnny Rockets Franchise
As you decide if opening a Johnny Rockets franchise is the right move for you, make sure you take time to explore the opportunity. Research the brand and your local area to see if a Johnny Rockets franchise would do well in your community. While competition is healthy, too much of it may not allow for the most possible growth.
The company provides several dozen hours of classroom training and hundreds of hours of on-the-job training. Franchisees receive support throughout the process, from design and real estate to operations and advertising. There is also guidance in regards to equipment needs and selection, food supply, and paper products. Support also comes in the form of staff development, health and safety training, operations curriculums, financial analysis, and marketing help.
Before making any financial commitment or signing an agreement, you must perform your due diligence and establish if this is the right opportunity for you. As part of your due diligence, you may want to speak to existing franchisees and ask the Johnny Rockets franchising team questions.
About Johnny Rockets
- Franchising Since
- 1987 (35 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
This company is seeking new franchisees worldwide.
- # of Units
- 303 (as of 2021)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Johnny Rockets 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
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $597,100 - $1,189,000
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Net Worth Requirement
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 15 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- Third Party Financing
- Johnny Rockets has relationships with third-party sources which offer financing to cover the following: startup costs, equipment, inventory, accounts receivable, payroll
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
- 256 hours
- Classroom Training
- 44 hours
- Additional Training
- Executive training
- Ongoing Support
Purchasing Co-opsMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial MediaWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Work with a free franchise expert and get what you need to start a Johnny Rockets franchise.
Franchise 500 Ranking History
Compare where Johnny Rockets landed on this year’s Franchise 500 Ranking versus previous years.
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